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2 years ago

ABC Limited manufactures high quality copper pots and pans.

Business

1 answer:

Anton [14]2 years ago

8 0

Answer:

ABC Limited

The role of the management accountant in setting the price of a new product is to gather sufficient information especially cost data and competitor's prices. The management accountant ensures that accurate computations are made to enable a proper price to be set.

Explanation:

a) Data and Calculations:

Variable Costs:

Manufacturing $75,000

Sales Commission $15,000

Total Variable Cost $90,000

Fixed Cost

Allocated Manufacturing $25,000

Total Fixed Cost $25,000

Total Cost $115,000

Units of production = 10,000

Unit cost = $11.50

Management decided that the required markup is 40%

Selling price = $16.10 ($11.50 * 1.4)

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Sorenson LLC, a publicly traded company, has ten members on its board. Of the ten members, six members are employees of the comp

Vesnalui [34]

Answer:

D. 7

Explanation:

Based on the information provided within the question it can be said that they need to appoint a total of 7 outside board members to achieve board independence. This is because in order to achieve board independence the board needs to consist of more members that are not employees than those who are. This is because votes need to be made in accordance to what is best for the company and shareholders, which may not always be best for the employees. Therefore when voting the employees may be biased.

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2 years ago

You plan to save $2,400 a year and earn an average rate of interest of 5.6 percent. How much more will your savings be worth at

mixas84 [53]

Answer:

If the deposits are made at the beginning of the year, the future value will increase by $18,821.1.-

Explanation:

Giving the following information:

Annual deposit= $2,400

Interest rate= 5.6%

Number of periods= 40

<u>First, we will calculate the future value when the deposits are made at the end:</u>

FV= {A*[(1+i)^n-1]}/i

A= annual deposit

FV= {2,400*[(1.056^40) - 1]} / 0.056

FV= $336,091.14

<u>Now, if the deposits are made at the beginning:</u>

FV= {A*[(1+i)^n-1]}/i + {[A*(1+i)^n]-A}

FV= 336,091.14 + [(2,400*1.056^40) - 2,400]

FV= 336,091.14 + 18,821.10

FV= $354,912.24

Difference= 354,912.24 - 336,091.14

Difference= $18,821.1

If the deposits are made at the beginning of the year, the future value will increase by $18,821.1.-

8 0

3 years ago

You wish to take an Excel course. You may enroll at one within your school or you may take a community class at the local librar

Paraphin [41]

Answer:

The chosen option (considering enrollment costs and opportunity cost) is:

b) College course.

Explanation:

a) Data and Calculations:

Costs/Benefits

College Course Community Course

Cost $2,600 $1,390

Opportunity costs -2,080 2,080

Net costs $520 $3,470

Distance to course 0.40 miles 16 miles

(walking distance) (driving distance)

Timing of course Weekday Weekend

Number of meetings 16 8

b) With the College course option, you will earn $2,080 ($260 * 8) weekdays to offset part of the enrollment cost. With the Community course option, $2,080 will be lost in opportunity cost, thereby increasing the total costs incurred. These costs are apart from the driving costs associated with traveling 16 miles to the Community Course at the local library.

5 0

2 years ago

You found your dream vacation cottage in the mountains and your offer of $78,000 was accepted. You plan to put 20% down and will

zepelin [54]

Answer:

financing 62,400 dollars

Monthly Payment $ 465.48

Total Interest 21,386.4

Rounding to nearest $ 100

Additional $$ 34.52

We save up to 16 payments and $2,136.4 in interest.

By-weekly payment $232.60

Total Interest saved $ 194.4

Explanation:

78,000 less 20% down-payment: 62,400

Monthly Payment

$PV \div \frac{1-(1+r)^{-time} }{rate} = C\\$

PV $62,400.00

time 180

rate 0.0034375

$62400 \div \frac{1-(1+0.0034375)^{-180} }{0.0034375} = C\\$

C $ 465.484

Total Interest

quota times time less principal

$ 465.48 x 180 - 62,400 = 21,386.4

$ 500 - $ 465.48 = $ 34.52

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C $500.00

time n

rate 0.0034375

PV $62,400.0000

$500 \times \frac{1-(1+0.0034375)^{-n} }{0.0034375} = 62400\\$

$(1+0.0034375)^{-n}= 1-\frac{62400\times0.0034375}{500}$

$(1+0.0034375)^{-n}= 0.571$

We now use logaritmics properties to solve for n

$-n= \frac{log0.571}{log(1+0.0034375)$

-163.2956066

180 - 164 = 16 payments

Total Interst 500 x 163.30 - 62,400 = 19,250

Interest savings 21,386.4 - 19,250 = 2,136.4

If payment are bi-weekly:

then payments will be:

$PV \div \frac{1-(1+r)^{-time} }{rate} = C\\$

PV $62,400.00

time 360

rate 0.00171875

$62400 \div \frac{1-(1+0.00171875)^{-360} }{0.00171875} = C\\$

C $ 232.598

And total Interest:

232.2 x 360 - 62,400 = 21,192

Difference 21,386.4 - 21,192 = $ 194.4

6 0

3 years ago

Zephyr Inc. sells wind based systems for generating electricity. The company pays no dividends, but you estimate the stock will

kari74 [83]

Answer:

The price you should be willing to pay for this stock= $24.86

Explanation:

To estimate the stock will be worth $50 per share 5 years from now and you require a 15% rate of return for stock investments of this type . Therefore 50= xX1.15^5 by solving this equation we have x= 24.86 . The price you should be willing to pay for this stock= $24.86

7 0

2 years ago