Answer:
$360,644
Explanation:
The computation of the amount paid for an investment is as follows:
= Payment made × ((1 - (1 + rate of interest)^-number of years) ÷ rate of interest
= $49,000 × ((1 - (1 + 0.06)^-10) ÷ 0.06)
=$360,644
We simply applied the above formula so that the correct value could come
And, the same is to be considered
Hence, the amount paid for an investment is $360,644
Answer: 5.05 per share
Explanation:
.Porter. Street
$,000 $,000
Net income. 264. 236
Less amortization 0. 12
Less Interest. 48. 36
Total. 216. 188
*=. 216+188= 404/80000shasres
=5.05
The parents company Peter fully owns all the share of street which means it takes the whole.profit of street, The consolidation sechdule only takes cognizance of the parents company shares in calculating earning per share and the subsidiary share which is Street it's treated as an investment. The convertible shares are also not taking into consideration since they have not been convert.
Is committed to maintain a product oriented philosophy
Answer:
$34,000
Explanation:
Accounting profit = Total revenue - Explicit costs
i.e Total revenue = $50,000
Explicit costs = $12,000 + $1,000 + $3,000 = $16,000
Therefore; $50,000 - $16,000 = $34,000.
Answer:
Explanation:
Workings
Product A
Selling price 410,000
Income 1 410,000
Further processing
Incremental cost 290,000
Product B 5900 102 601,800
Product C 11,900 60 714,000
Total revenue 1,315,800
Incremental cost 290,000
Income 2 1,025,800
Income on further process , that is if an additional cost of 290,000 is spent on the initial cost that generated the sales of 410,000 = 1,025,800
Incremental income on further processing =1,025,800-410,000 = 615,800
Therefore , it is advised that it should be processed further.