A communist political party governed directly by the people and in a socialist political party the government would be in charge.
Answer: $360,050
Explanation:
The total cost of a fixed asset refers to all the cash that was paid to acquire the asset, transport it and then install it.
Cost of the new machinery is therefore = Discounted cost price + Sales tax + Installation charges + Concrete slab
= (270,000 * (1 - 2%)) + 79,750 + 4,800 + 10,900
= 264,600 + 79,750 + 4,800 + 10,900
= $360,050
<em>Cost price was discounted by 2% as per the credit terms of 2/10 which means that there is a discount of 2% if the asset is paid for in 10 days. </em>
Answer:
The answer is option B) If the alternative proposals involve different amounts of investment, it is useful to prepare a relative ranking of the proposals by using a present value index.
Explanation:
Present Value Index is a used to measure the feasibility and efficiency of investment options. It is the ratio of the Net Present Value of a project to the initial option required for it.
When several alternative investment proposals of the same amount are being considered, the one with the largest net present value is the most desirable.
However, If the alternative proposals involve different amounts of investment, it is useful to prepare a relative ranking of the proposals by using a present value Index.
Answer:
December 26
Dr. Inventory $7,500
Cr. Account Payable $7,500
December 31
Dr. Account Payable $7,500
Dr. Discount Received $150
Cr. Cash $7,350
Explanation:
Credit terms of 2/10, n/30 means there is a discount of 2% is available on payment of due amount within discount period of 10 days after sale with net credit period of 30 days.
Purchase = $7,500
As payment is made within discount period, so the discount will be availed.
Discount = $7,500 x 2% = $150
Payment = $7,500 - $150 = $7,350
Answer:
B. What is the most effective allocation?
Explanation:
Economics is the social study of how society allocates its limited resources to meet the unlimited need of its members. It involves the distribution of scarce resources to various sections of the community to meet different wants. Economist's primary concern is the efficient use of the available resources to achieve maximum benefits.
Economics will involve making decisions on the use of available resources. Economists will calculate the opportunity cost in every situation before making a decision. The purpose of finding the opportunity costs to determine the most effective ways of allocating resources.
