Answer:
c. $74,450
Explanation:
The computation of the Net present value is shown below
= Present value of all yearly cash inflows after applying discount factor + salvage value - initial investment
where,
The Initial investment is $120,000
All yearly cash flows would be
= Annual net operating cash inflows × PVIFA for 6 years at 14%
= $50,000 × 3.8887
= $194,435
Refer to the PVIFA table
Now put these values to the above formula
So, the value would equal to
= $194,435 - $120,000
= $74,435 approx
Answer:
The minimum selling price = $23
Explanation:
The minimum selling price to be acceptable for the special order be the same as the relevant variable cost of producing a unit.
The relevant variable cost = marginal cost of a unit
Marginal cost = Direct material + Direct labour + Variable manufacturing overhead + shipping cost
Marginal cost = 9+ 7 + (50%× 8) + 3= 23
The minimum selling price = $23
Note : The 50% balance of manufacturing overhead which represents unavoidable fixed costs is irrelevant for this decision. These are costs that would be incurred either way whether or not the special order is accepted.
Answer:
The correct answer is True.
Explanation:
When banks hold a maximum percentage of bank deposits as treasure, the twine maker's audacity decreases. To see why this is so, let's first look at the recipe for the pasta divider.
The recipe for the money maker is
:
Multiplier = 1 / list of required circumspection.
However, we should be aware that this assumes that banks will lend all deposits that they are not required to support as required treasury. In essence, the executor in this formula is really the percentage of deposits that is kept in the belt in opportunity to be borrowed. When the delicacy of riches increases, the factor in this recipe still increases. When this happens, the negotiator falls.
We can also see why the value of the creator of parné falls in a non-mathematical way. The number exists because banks lend string. If I deposit $ 1000, the jail could feed $ 100 as required treasure and lend the other $ 900 to someone else. When they grant this loan, the money offer has increased by $ 900 because my $ 1000 has become $ 1900. Now imagine that the belt has a treasury treat. Now I deposit $ 1000 but the side maintains $ 500. In this case, my $ 1000 romanza becomes $ 1500. Therefore, when the banks keep more money in the treasury, the decision of the twine executor decreases.
Answer:
d. Longer product life cycle
Explanation:
Continuous innovation products are the most typical forms of innovation we see among new products every year. The primary reason a brand manager would support innovation investment in such products is <u>Longer product life cycle.</u> In this case of continuous product innovation, the product life cycle is longer in comparison to the existing ones and this is based on the factor that it possess additional factors or attributes that will contribute towards the same.