Answer:
If I bougth the Machine at 14% interest.
This purchase is not justified
Depreciation expenses and credit interest are greater than the income generated
Explanation:
Machine 360000
Adittional cost 20000
Final Cost 380000
Salvage Value 73000
Machine value for depreciation 307000
year 1 307000 61400 245600
year 2 245600 61400 184200
year 3 184200 61400 122800
year 4 122800 61400 61400
year 5 61400 61400 0
Period Payment Capital Interest Loan
360000
1 104.862 54.462 50.400 305.538
2 104.862 62.087 42.775 243.451
3 104.862 70.779 34.083 172.672
4 104.862 80.688 24.174 91.984
5 104.862 91.984 12.878 0
Depreciation 307000
Interes 164.310
Expenses 471.310
Revenue 430.000
The correct answer is C,
A good is said to have an inelastic supply if the suppliers did not have any choice than producing it even though the cost of production is high and the buyers did not have any choice than buying it even though it is expensive.
No one can do without shoes, even if they are expensive, we still need to buy them.
Before the annual “Blue versus Red” football game, Sara bet on the blue team who later lost. After the game, she claimed she knew the blue team would lose. This illustrates hindsight bias which is also known as knew it all long effector tiptoeing determinism. It is the disposition after an event has occurred, to see the event as having been expectable in spite of there having been little or no objective basis for forecasting it. It is multifaceted phenomenon that can affect can cause exciting methodological problems while trying to analyze, understand and interpret results in investigational studies. In Additional, one example of the hindsight bias is when after viewing the outcome of a potentially unforeseeable event a person believe he or she “knew it all along.”
Answer: $1,017,000
Explanation:
In calculating product costs we take the following, Direct materials and direct labor, Other variable manufacturing costs, Depreciation of factory building and manufacturing equipment and Other fixed manufacturing costs.
We add all of those with the result being the Product cost.
Calculating therefore would give us,
= 770,000 + 135,000 + 87,000 + 25,000
= $1,017,000
$1,017,000 is the amount that should be considered product costs for external reporting purposes.
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