1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Ilia_Sergeevich [38]
3 years ago
5

Lucie is reviewing a project with an initial cost of $38,700 and cash inflows of $9,800, $16,400, and $21,700 for Years 1 to 3,

respectively. Should the project be accepted if it has been assigned a required return of 9.75 percent
Business
1 answer:
Alecsey [184]3 years ago
5 0

Answer:

Results are below.

Explanation:

To determine whether the project should be accepted or not, we need to calculate the net present value. <u>If the NPV is positive, the project should be accepted.</u>

<u>To calculate the NPV, we will use the following formula:</u>

NPV= -Io + ∑[Cf/(1+i)^n]

Cf1= 9,800/1.0975= 8,929.38

Cf2= 16,400/1.0975^2= 13,615.54

Cf3= 21,700/1.0975^3= 16,415.20

Total= $38,960.12

NPV= -38,700 + 38,960.12

NPV= 260.12

<u>The project is profitable. </u>

You might be interested in
Bob Clarke Corporation has provided the following data from its activity-based costing system: Activities Estimated Overhead Cos
AfilCa [17]

Answer:

Total Unit Cost=  $ 96.65

Explanation:

Bob Clarke Corporation

Activities           Estimated Overhead Cost       Expected Activity

Assembly                     $1,005,040                 68,000 machine-hours

Processing orders       $102,500                       2,000 orders

Inspection                    $139,840                    1,900 inspection-hours

<u><em>First we find the overhead rates using ABC costing method.</em></u>

<u><em></em></u>

Overhead Rates=  Estimated Overhead Cost/ Expected Activity

Assembly Rate=   $1,005,040 /68,000 = $ 14.78 per machine-hours

Processing rate= $102,500 / 2,000= $ 51.25 per orders

Inspection Rate=  $139,840/ 1,900=  $ 73.6 per inspection-hours

<u><em>Then we find the overhead costs applying the ABC Costing rates</em></u>

<u><em></em></u>

Overhead Costs Of 450 Hockey

Assembly= 710 machine-hours, * $ 14.78= $10493.8

Processing=42 orders, *$ 51.25= $ 2152.5

Inspection= 12 inspection-hours*$ 73.6 = $ 883.2

Total Overhead Costs of 450 Hockey = $ 13529.5

Overhead Cost of One Hockey= 13529.5/450= 30.065=  $ 30.07

Then the:

Product Cost

Direct materials cost is $36.42 per hockey stick

Direct labor cost is $30.16 per hockey stick

Overhead Costs is $ 30.07

Total Unit Cost=  $ 96.65

7 0
3 years ago
Which of the following LEAST describes the concept of brand equity? Select one:
Julli [10]

Answer:

The statement states least regarding the brand equity concept is option A

Explanation:

Brand equity is the value or value premium which a firm generates  or create for the product with a name that is recognizable when compared to the generic equivalent. It is used by companies for creating a brand for their products by making them superior in reliability and quality.

So, the one which state least regarding the same that it provide information for assessing the maximizing of the supply chain.

6 0
3 years ago
Marketing links producers to
satela [25.4K]
Marketing links producers to customers.
That is the answerzb
8 0
2 years ago
What the single greatest factor in safety and health programs’ failure to completely keep us free of workplace accidents is, why
Lady_Fox [76]
The answer to this is probably something like the human factor or a human error. That is because no matter how great the conditions are, you can't prevent people from making a mistake eventually and this can include even simple things like falling down stairs. What you can do is make sure you get good employees, but even those banal injuries still count as a workplace accident and the worker needs to be paid and covered to mend it.
8 0
2 years ago
At age 1, suzi had a vocabulary of 10 words. now, at 2 years of age, she has a vocabulary of over 100 words. language developmen
wariber [46]
10x of words development
6 0
3 years ago
Other questions:
  • Gomez Corp. uses the allowance method to account for uncollectibles. On January 31, it wrote off an $800 account of a customer,
    15·1 answer
  • Do you think that a price floor such as a minimum wage will result in a surplus of labor and hence unemployment?
    13·1 answer
  • Jax Company uses the acquisition method for accounting for its investment in Saxton Company. Jax sells some of its shares to Sax
    13·2 answers
  • A fund manager is considering three mutual funds. The 1st is a stock fund, the 2nd is a long-term government and corporate bond
    11·1 answer
  • make a logo for me with the name voice notes it’s a note book that writes when u speak best one gets brainliest
    11·1 answer
  • Type the correct answer in the box. Spell all words correctly. Which type of partnership should Adam and Donna choose? Adam and
    5·2 answers
  • Company manufactures luggage sets. sells its luggage sets to department stores. expects to sell luggage sets for each in and lug
    9·1 answer
  • What is the rule for reporting the revenues and expenses of a company that is acquired partway through a fiscal year in the cons
    15·1 answer
  • darden has beginning equity of $286,000, total revenues of $72,000, and total expenses of $34,000. the company has no other tran
    15·1 answer
  • there is some concern that increased use of could prompt the need for legislation protecting employee privacy rights.
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!