Answer:
The correct option is 4 years
Explanation:
Payback period is the length of time it takes an investment to repay itself.By repaying itself I meant the time horizon taken for the initial capital outlay from a project to be recovered.
Payback period=initial investment /net annual cash inflow
initial investment is the $24,000 spent in acquiring the new machine
net annual cash flow =net income+depreciation
depreciation is added because it is not a cash flow in real sense
net annual cash flow=$2000+$4000=$6000
payback period=$24,000/$6000= 4 years
Answer:
well if it's dull books, shouldn't it be vocabulary. if it were concentrated she would be bored and her mind would wander elsewhere. but if it were vocabulary she would still find it dull. As if it were a dictionary, nobody wants to spend 5 hours reading every word in the dictionary
Answer:C. $50,000
Total revenue would be $300,000. Total cost would be $250,000 (fixed = $50,000; variable = $200,000).
Explanation:
Answer:
$530,000
Explanation:
Given that
Fixed manufacturing cost = 50000
Variable manufacturing cost = 12 per ton steel
Total number of steal produced = 40000
Recall that
Total manufacturing cost = Total fixed manufacturing cost + total variable manufacturing cost
Total variable manufacturing cost = variable cost per ton × output
= 40000 × 12
= 480,000
Therefore,
Total manufacturing cost = 50000 + 480000
= $ 530,000
Total manufacturing cost = $530,000
Answer:
$25,200 and $58,800
Explanation:
The computation of the depreciation expense and the book value using the sum-of-the-years'-digits method is shown below:
The depreciation expense is
= (Purchase cost - residual value) × useful life ÷ (sum of years)
= ($84,000 - $8,400) × 5 years ÷ (1 + 2 + 3 + 4 + 5)
= $75,600 × 5 years ÷ 15 years
= $25,200
And, the book value is
= Purchase cost - depreciation expenses
= $84,000 - $25,200
= $58,800
We simply applied the above formulas
