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Novosadov [1.4K]
2 years ago
12

The Geostar Company, leading manufacturer of wireless communication devices, is considering three cost-reduction proposals in ts

Setch job-shop manufacturing operations. The company hes already calculated rates of return for the three projects, along with some incremental retes of return, as given in Table.
A denotes the do-nothing alternative. The required investments are $420,000 for A $550,000 for A and $720,000 for A . If the MARR is 15%, what system should be selected?

Incremental Investment Incremental Rate of Return (%)
A1- Ao 18
A2- Ao 20
A3- Ao 25
A2- A1 10
A3- A1 18
A3-A2 23
Business
1 answer:
S_A_V [24]2 years ago
7 0

Answer: Alternative 3 will be selected.

Explanation:

The system that should be selected is the alternative that is better than the other alternatives by being higher than MARR if selected.

First compare A1 to A0

The rate of return here is 18% which is higher than the MARR of 15% so Alternative 1 should be chosen over A0 which is to do nothing.

Compare A1 to A2

If A2 is chosen over A1, the incremental return is 10% which is less than the MARR of 15% so A2 should not be chosen over A1. A1 should instead be chosen over A2.

Compare A1 to A3

If A3 is chosen over A1 then the incremental return would be 18%. This is higher than the MARR of 15% so Alternative 3 should be chosen over Alternative 1.

Alternative 3 should be chosen over A1 which should be chosen over A2 and A0.

A3 will therefore be selected.

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Answer:

the subject of Federal Open Market Committee decisions is as below:

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3 years ago
ncreased government spending spurs a short-run expansion. Over time, aggregate supply eventually __________, returning the econo
Natasha2012 [34]

If increased government spending spurs a short-run expansion. The statement that complete the gap is:<u> Shifts to the left</u>, <u>Output endresources.</u>

<h3>What is aggregate supply?</h3>

Aggregate supply can be defined as the overall amount of goods and service  that a firm intend to produce and supply at a point in  time or at a particular period of time.

If an increase in government spending lead to short run expansion this means that there will be shift in  aggregate supply of goods and service as aggregate supply will tend to shift to the left.


Therefore the statement that complete the gap is:<u> Shifts to the left</u>, <u>Output endresources.</u>

Learn more about aggregate supply here:brainly.com/question/19802257

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7 0
2 years ago
A method of accounting for uncollectible receivables in which the company estimates bad debts expense instead of waiting to see
bazaltina [42]

Answer:

The statement is True as well as correct

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Under this method, it is used to adjust the accounts receivable which appears on the balance sheet.

For example,

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So, this estimate the bad debt expense rather than wait to see which customer will not able to collect.

5 0
3 years ago
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$0

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So for goodwill, no amortization is to be done

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4 0
2 years ago
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MaRussiya [10]

Answer:A pair of sandals.

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You also maximize your utility by considering the item which is economica prudent to one needs or want.

6 0
2 years ago
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