Answer:
Leto Company
The unit contribution margin per production constraint hour is:
= $0.00637.
Explanation:
a) Data and Calculations:
Unit selling price = $96.80
Unit variable cost = (23.50)
Unit contribution margin = $73.30
Hardening treatment hours per unit = 5 hours
Units of alloy produced = 2,300
Total hours spent on hardening treatment = 11,500 (5 * 2,300)
Contribution margin per production constraint hour = Unit contribution margin/Total hours spent on hardening treatment
= $0.00637 ($73.30/11,500)
b) The unit contribution margin per production constraint hour shows the contribution margin that is made per unit of the production constraint. The production constraint is the limited input resources that are available for production. It is a product of the units of the alloy that Leto produces and the number of hours required to produce one unit.
Answer:
$42,000
Explanation:
The cash flow statement categories the company's transactions in a financial period into 3 groups; these are operating, investing and financing.
The net change in cash is as a result of the flow of cash within these activities.
Given that cash inflows from operations of $64,000; cash outflows from investing activities of $48,500; and cash inflows from financing of $26,500,
Net change in cash
= $64,000 - $48,500 + $26,500
= $42,000
<span>The answer is net present
value. It is the difference between the present value of cash inflows and the
present value of cash outflows. NPV is used in capital budgeting to examine
the effectiveness of a projected investment or
project. A net present value that is positive stipulates that the
projected earnings produced
by a project or investment surpasses the anticipated costs. In general, an
investment with a positive NPV will be a profitable one and the one with a
negative NPV will result in a net loss. </span>
Answer:
Initial Investment= $94,769.7
Explanation:
Giving the following information:
Annual payment (A)= $25,000
Interest rate (i)= 10%
Number of periods (n)= 5 years
<u>To calculate the initial investment, we need to use the following formula:</u>
PV= A*{(1/i) - 1/[i*(1 + i)^n]}
PV= 25,000*{(1/0.1) - 1/[0.1*(1.1^5)]}
PV= $94,769.7
Answer: $0
Explanation:
Fron the question, we are informed that Patterson Co.’s Depreciation Expense is $20,200 and the beginning and ending accumulated depreciation balances are $150,100 and $155,100, respectively.
The cash paid for depreciation will be $0. It should be noted that depreciation has to do with the ear and tear of an asset because its usage therefore no cash will be paid for depreciation.