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3 years ago

Lion Management Services is considering an investment of $75,000. Data related to the investment are as follows:

Business

1 answer:

irinina [24]3 years ago

8 0

Answer:

It will take 3.3 years to cover the initial investment.

Explanation:

Giving the following information:

Initial investment=$75,000

Year Cash Inflows

1 $20,000

2 23,000

3 17,000

4 50,000

5 20,000

The payback period is the time required to cover the initial investment.

Year 1= 20,000 - 75,000= -55,000

Year 2= 23,000 - 55,000= -32,000

Year 3= 17,000 - 32,000= -15,000

Year 4= 50,000 - 15,000= 35,000

To be more accurate:

(15,000/50,000)= 0.3

It will take 3.3 years to cover the initial investment.

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Martina wants to expand her business. She will need to buy a larger facility and equip it with additional machinery. She should

soldi70 [24.7K]

Answer:

Certified Development Company 504 Loan Program

Explanation:

The US Small Business Administration 504 Loan or Certified Development Company program is designed to provide financing for the purchase of fixed assets, which also means real estate, buildings and machinery, at a price below the normal market rate. Its mission involve boosting the development of various businesses. The SBA offers a number of different loan programs linked to a particular capital need of growing businesses. The 504 program works by sharing the loan among three parties. The business owner puts in a minimum of 10%, a conventional lender which is the bank puts up 50%, and Certified Development Company (CDC) puts up the remaining 40%.

5 0

4 years ago

16) (2 marks)

musickatia [10]

Answer:

171 units

Explanation:

Break-even point = fixed cost / Divide by contribution margin per unit.

fixed costs = £12,000

Contribution margin per unit = selling price - variable cost per unit

Selling price £88: variable cost £18

contribution margin per unit

= £88 - £18

=£70

Break-even point = £12,000/£70

=171.42

=171 units

3 0

3 years ago

Commercial paper investments are ___. (Select all that apply.)

Nataly [62]

Answer: Less than one year, guaranteed returns , and a money market product

What I put for my answer think its right

Explanation:

7 0

3 years ago

Assuming a FICA tax rate of 7.65% on the first $127,200 in wages, 1.45% on amounts in excess of $127,200, and a federal income t

Lelechka [254]

Answer:

$154524

Explanation:

If a federal tax rate is 20% on all wages then we subtract that amount from the total wage of $206000 for the year

20% from $206000 is $41200

$206000 - $41200 = $164800

We have deducted the federal tax rate and got the amount $164800

After we apply the FICA tax rate of 7.65% on the amount $127200 we get

7.65% of $127200 is $9730,8 so the first amount we have to remember is

$127200 - $9370,8 = $117469,2

Regarding the amount that excess $127200 that amount stands at

$164800 - $127200 = $37600

We apply the 1.45% rate to the amount $37600

1.45% of the $37600 is $545,2 so the second amount we have to remember is

$37600 - $545,2 = $37054,8

We now simply add the two calculated amounts

$117469,2 + $37054,8 = $154524

So the net pay for the year is $154524

7 0

4 years ago

Social Media, Inc. (SMI) has two services for users. Toot!, which connects tutors with students who are looking for tutoring ser

stealth61 [152]

Answer:

Instructions are below.

Explanation:

Giving the following information:

Toot! TiX Total

Users 17,900 24,100 42,000

Administrative costs $ 1,848,000

We need to allocate administrative costs to each product. First, we need to calculate the predetermined overhead rate:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= 1,848,000/42,000

Predetermined manufacturing overhead rate= $44 per user

Now, we allocate overhead:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Toot!= 44*17,900= 787,600

TiX= 44*24,100= 1,060,400

Finally, the gross profit for each service:

Toot!:

Revenue= 2,200,000

Engineering cost= (1,096,250)

Administrative cost= (787,600)

Profit= $316,150

TiX:

Revenues= 2,400,000

Engineering cost= (1,213,750)

Administrative cost= (1,060,400)

Profit= $125,850

5 0

3 years ago