Incorrect. You don’t need a comma after “crocodiles” or before “other”
Answer:
A) Sell short 100 ABC at 69.45 Stop
Explanation:
When an order is placed below the market (OBLOSS - Open Buy Limits Open Sell Stops) it will be adjusted on the specialist's book for distributions on ex date. This open sell stop order = $70 - $0.55 (dividend) = $69.45
So the adjusted order will be: Sell short 100 ABC at 69.45 stop.
Answer:
B
Explanation:
Net present value is a tool used to analyze how profitable a project by deducting the present value the difference between cash inflow and cash outflow over a period of time.
The formula is (cash flow)/(1+r)^i
Revenue - $750,000
Expenses - $650,000
Increase in net income - 100,000
Annual depreciation charge - 650000/5 =$130,000
Discount rate - 12%=3.605
Present cash value =( $100,000+$130000) = $230,000
Please note that depreciation is added back as it is a non cash expenses
Present value of cash flow = annual cash flow * discount rate
=$230,000*3.605 =829,150
Net present value = 829150-650000= 179,150
Answer:
$3,762
Explanation:
The computation is as seen below
Total cost when the production is 9,900 units
Direct materials $8,316
Direct labor $11,187
Variable overhead $12,474
Total $31,977
But,
Their new cost on supplier offer is
= $2.85 × 9,900 units
= $28,215
In the case when the order is accepted, the net income would increase by
= $31,977 - $28,215
= $3,762
