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3 years ago

Distinguish between the savings and investment options.

Business

1 answer:

emmasim [6.3K]3 years ago

8 0

Answer:

Explanation:

Savings are your plans or those money you keep for future use while

Investment is or are the money you keep in a particular organization or group to get more than what you put in but in savings you get exactly what you save

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Dake Corporation's relevant range of activity is 2,000 units to 6,000 units. When it produces and sells 4,000 units, its average

Digiron [165]

Answer:

Instructions are below.

Explanation:

Giving the following information:

When it produces and sells 4,000 units, its average costs per unit are as follows:

Variable manufacturing overhead $1.40

Fixed manufacturing overhead $ 2.60

Units produced= 3,000

To calculate the unitary indirect manufacturing cost, you can use two different methods. The variable method only uses the variable manufacturing overhead. The absorption method uses the total unitary overhead.

Total fixed overhead= 2.6*4,000= 10,400

Variable costing method:

Unitary indirect manufacturing cost= $1.4

Absorption costing method:

Unitary fixed overhead= 10,400/3,000= $3.47

Unitary indirect manufacturing cost= 1.4 + 3.47= $4.87

5 0

3 years ago

You are considering an investment in a startup that will cost $100,000 but you will receive a cash inflow of $25,000 every year

bulgar [2K]

Answer:

Simple payback is 4 years

Total discounted Payback is more than the 5 years which is the payback cutoff period.

Explanation:

Payback period is the time period in which the project recovers the initial cost incurred. Lower the payback period the more beneficial will be the project.

Simple payback = $100,000 / $25,000 = 4 years

Discounted Payback

Discounted payback is calculated by using the present value of future cash flows.

Total discounted cash flows = 22935.78 + 21042.0 + 19304.59 + 17710.63 + 16248.28 = 97,241.28

As sum of all cash flows are less than the initial investment so, total discounted Payback is more than the 5 years which is the payback cutoff period.

8 0

3 years ago

Cool Cars Location (Scenario) An automobile producer from Southern Italy, Cool Cars, has developed plans to expand international

S_A_V [24]

Answer:

D. Land and construction costs are comparatively less expensive in Russia than in Canada

Explanation:

Option D would favor Russia ahead of Canada because of the fact that manufacturing costs are cheaper and they have easier access to Capital. I came to this conclusion since it has been stated that land and construction costs are cheaper in Russia.

In Economics the goal of every firm is to minimize cost and to maximize profit. Option D is cost minimizing for cool cars if they want to duplicate their overall success.

8 0

3 years ago

Elway Company purchases land for $85,000 cash. Elway assumes $2,500 in property taxes due on the land. The title and attorney fe

defon

Answer:

c. $90,700

Explanation:

The computation of the cost of the land is shown below:

= Purchase cost of land + property taxes + attorney fees + land graded cost

= $85,000 + $2,500 + $1,000 + $2,200

= $90,700

We added the property taxes, attorney fees, and the land graded cost to the purchase cost of the land. We do not include the parking lot expenses

3 0

3 years ago

Sarah purchased a stock one year ago at a price of $32 a share. In the past year, she has received four quarterly dividends of $

alexdok [17]

Answer:

$6.

Explanation:

Holding stock of a Public company entitles you to a potential return on your investment which can be in the form of Capital Appreciation/Gain, that is buying at low and selling at high, or Dividends received. In the given question, we are not required to calculate total return rather capital gain, simply the difference between purchase price and selling price, so there is no need to account for dividends. The formula for Capital Gain is given below:

Capital Gain / Appreciation = Selling Price - Purchase Price

⇒ Capital Gain = 38 - 32 = $6.

7 0

3 years ago