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nika2105 [10]
3 years ago
11

Cameroon Corp. manufactures and sells electric staplers for $17.00 each. If 10,000 units were sold in December, and management f

orecasts 5.0% growth in sales each month, the number of units of electric stapler sales budgeted for March should be:
Business
1 answer:
kiruha [24]3 years ago
5 0

Answer:

Sales in March= 11,576 units

Explanation:

Giving the following information:

10,000 units were sold in December

Management forecasts 5% growth in sales each month.

<u>To calculate the sales for March, we need to use the following formula:</u>

<u></u>

FV= PV*(1+i)^n

FV= future value in sales units

PV= present value in sales units

i= growth rate

n= number of months

FV= 10,000*(1.05^3)

FV= 11,576 units

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Randy Ice starts the month with a balance on his credit card of $1000. On the 10th day of the month, he purchases $200 in clothe
Eva8 [605]

Answer: $11.25

Explanation:

From the above question, The bank charges 1.5 percent per month and uses the average daily balance excluding new purchases method.

The average daily balance for the month excluding the new purchase is $750.

Therefore, the finance charge =

$750 x 1.5%

= $11.25

6 0
3 years ago
Assume the risk-free rate is 4%. You are a financial advisor, and must choose one of the funds below to recommend to each of you
qwelly [4]

Answer:

Following are the solution to the given point.

Explanation:

Calculate each fund's Sharpe ratio. It Fund is the best danger reward with the highest Sharpe ratio.

\text{Sharpe Ratio} = \frac{\text{(Fund return - \text{risk free return)}}}{Volatility}\\\\\to Fund A= \frac{(10\%-4\%)}{10\%} = 0.6\\\\\to Fund B= \frac{(15\%-4\%)}{22\%} = 0.5\\\\\to Fund C = \frac{(6\%-4\%)}{2\%}=1.0\\\\

Fund C consequently offers the best risk-benefit. and without understanding client risk preference, we will advise Fund C for any clients. If a client wants to have a 22 percent minimum volatility, we'll nevertheless propose that Fund C instead of Fund B is available, because an investor can take risk-free rates to the degree that the total portfolio volatility stands at 22 percent and deposit it in Fund C.

8 0
4 years ago
Item 17Item 17Deep Mining and Precious Metals are separate firms that are both considering a silver mining project. Deep Mining
nadezda [96]

Answer:

Precious Metals should accept the project since its NPV is greater than 0.

Explanation:

Find the Net present value of the project using the different discount rates for Deep Mining and Precious Metals companies. You can use a financial calculator with the following inputs;

<u>Deep Mining </u>

Note: use "CF" key on calculator

Initial investment; CFO = -950,000

Yr1 cashflow CF1 = 165,000

Frequency; F01 = 12 (because it is recurring for 12 years)

Interest rate ; I/Y = 16.2%

then CPT NPV = -$99,553.49

<u>Precious Metals; </u>

Initial investment; CFO = -950,000

Yr1 cashflow CF1 = 165,000

Frequency; F01 = 12 (because it is recurring for 12 years)

Interest rate ; I/Y = 13.4%

then CPT NPV = $9,059.05

Therefore,Precious Metals should accept the project since its NPV is greater than 0.

7 0
4 years ago
A manufacturing company that produces a single product has provided the following data concerning its most recent month of opera
wolverine [178]

Answer:

C) $88,000

Explanation:

period cost: cost which cannot be capitalize through inventory or other assets.

Under variable cost, the fixed cost are treated as period cost.

Fixed costs:

Fixed manufacturing overhead $ 60,000

Fixed selling and administrative expense $ 28,000

6 0
3 years ago
Mason Company has two manufacturing departments—Machining and Assembly. The company considers all of its manufacturing overhead
Oxana [17]

Answer:

(a) Plant wide predetermined overhead rate:

=\frac{Total\ manufacturing\ overhead}{Total\ direct\ labor\ hours}

=\frac{23,400,000}{780,000}

      = 30

Manufacturing overhead applied Job A:

= Total direct labor hours × Plant wide predetermined overhead rate

= 15 × 30

= 450

Manufacturing overhead applied Job A:

= Total direct labor hours × Plant wide predetermined overhead rate

= 9 × 30

= 270

(b) Departmental predetermined overhead rates:

Machining =\frac{Manufacturing\ overhead}{Machine\ hours}

Machining =\frac{22,500,000}{750,000}

                         = 30

Assembly =\frac{Manufacturing\ overhead}{Labor\ hours}

Assembly =\frac{900,000}{750,000}

                         = 1.2

Manufacturing overhead applied Job A:

= (Machining machine hours × 30) +  (Assembly direct labor hours × 1.2)

= (11 × 30) +  (10 × 1.2)

= 330 + 12

= 342

Manufacturing overhead applied Job B:

= (Machining machine hours × 30) +  (Assembly direct labor hours × 1.2)

= (12 × 30) +  (5 × 1.2)

= 360 + 6

= 366

4 0
3 years ago
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