Answer:
A) $17.80
Explanation:
The computation of the predetermined overhead rate per machine hour is shown below:
= Estimated total fixed manufacturing overhead from the beginning of the year ÷ estimated activity level from the beginning year machine hours
= $534,000 ÷30,000 machine hours
= $17.80
We simply applied the above formula so that the predetermined overhead rate could come
Answer:
"Zero point zero zero zero three five four"
Explanation:
When you say the numbers after the decimal, you read each digit separately.
This is opposed to the number before the decimal, where you read the numbers together. (For example, 45.56 is forty-five point five six).
Answer:
Current bond price = 80 / (1+0.04)^1 + 1080 / (1+0.04)^2
Explanation:
The Coupon payment = 0.08 * 1000 = 80
The Payment at EOY 1 = 80
The Payment at EOY 2 = 80 + 1000 = 1080
market interest rate = 4%
Current bond price = 80 / (1+0.04)^1 + 1080 / (1+0.04)^2
Answer:
The bonds sell for $825.63
Explanation:
To calculate the price of the bond, we need to first calculate the coupon payment per period. The bonds are annual bonds so the coupon payment is per year.
Coupon Payment = 1000 * 0.057 = $57
Total periods = 15
The formula to calculate the price of the bonds today is attached.
Bond Price = 57 * [( 1 - (1+0.077)^-15) / 0.077] + 1000 / (1+0.077)^15
Bond Price = $825.63
