Answer: $7924. 5
Explanation:
Given the following :
Cost of new equipment and timbers - $275,000
Working capital required - $100,000
Annual net cash receipts - $120,000
Cost to construct new roads in year three - $40,000
Salvage value of equipment in four years - $65,000
Kindly check attached picture for Explanation
Answer:
$4,265.55
Explanation:
Future value = $120,000
Interest rate (i) = 5%
Annual deposit = ?
Time period (n) = 18 year
Since deposit are to be made at the beginning of each year, hence the relevant factor table to be used is future value annuity due factor table.
Future value = Annual deposit x future value annuity due factor (i%, n)
120,000 = Annual deposit x FVADF (5%, 18period)
120,000 = Annual deposit x 28.13238
Annual deposit = 120,000/28.13238
=$4,265.547
=$4,265.55
Flexible exchange rate systems are calculated according to supply and demand. Every currency decides the type of exchange rate arrangement to uphold.
Answer:
Kindly check explanation
Explanation:
Implementing plans where functional managers will be held responsible for cost overruns against their original estimate possess both advantages and disadvantages :
The advantages include:
1) Efficient use of Resources : A functional manager could be explained as the head or a person who has managerial authority over a department within a business organization. As such the functional manager will be able to monitor more effectively and take control of his unit. Holding them responsible for cost overruns will ensure that they are more cautious when it comes to resource and cost management as they will not want to be sanctioned.
11) ACCOUNTABILITY: It increases the sense of responsibility of the functional managers as they are being held fully responsible for the decisions made within their unit. This places a higher burden of showing sincerity on the managers.
The disadvantage associated with the plan is the possibility of producing low quality products resulting from the economical and cautious approach embarked upon in other to prevent cost overrun, materials used may be lesser quality than expected.
Letter of credit that can be split up between many suppliers, each able to present their own documents for payment and allowing the trader to take his profits from the balance of the credit, is called Transferable Letter of Credit
.
Explanation:
Transferable Letter of Credit is a credit document in which the party can transfer the credit in full or partial to another beneficiary.
A transferable credit letter that enables a receiver to further pass all or part of the payment to another supplier in the chain or to some other receiver. This usually occurs when the recipient is merely a conduit to the actual supplier. Such LC allows the beneficiary to have their records, but to further pass the credit.
