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Alina [70]
3 years ago
8

Zachary Airlines is a small airline that occasionally carries overload shipments for the overnight delivery company Never-Fail,

Inc. Never-Fail is a multimillion-dollar company started by Wes Never immediately after he failed to finish his first accounting course. The company’s motto is "We Never-Fail to Deliver Your Package on Time." When Never-Fail has more freight than it can deliver, it pays Zachary to carry the excess. Zachary contracts with independent pilots to fly its planes on a per-trip basis. Zachary recently purchased an airplane that cost the company $4,636,000. The plane has an estimated useful life of 24,400,000 miles and a zero salvage value. During the first week in January, Zachary flew two trips. The first trip was a round trip flight from Chicago to San Francisco, for which Zachary paid $420 for the pilot and $370 for fuel. The second flight was a round trip from Chicago to New York. For this trip, it paid $370 for the pilot and $185 for fuel. The round trip between Chicago and San Francisco is approximately 4,300 miles and the round trip between Chicago and New York is 1,300 miles.
Required:a. Select if the costs mentioned below are direct or indirect.b. Determine the total cost of each trip. (Do not round intermediate calculations.)
Business
1 answer:
Setler79 [48]3 years ago
5 0

Answer: See explanation

Explanation:

a. Based on the information given, the direct costs are:

• Pilot Cost

• Fuel Cost.

The indirect cost is:

• Depreciation Cost

b. To know the total cost for each trip, we need to know the depreciation per mile which will be:

= $4,636,000 / 24,000,000

= 0.19

Cost for Trip 1

Pilot Cost = $420

Fuel Cost = $370

Depreciation Cost = (0.19 × 4,300) = $827

Total Cost = $1617

Trip 2

Pilot Cost = $370

Fuel Cost = $185

Depreciation Cost = (0.19 × 1,300) = $247

Total Cost = $802

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nata0808 [166]

Answer:

-$130,000

Explanation:

The computation of the net loss deducted from his return is shown below:

= Income - interest deductions - operating expenses - depreciation expenses

= $20,000 - $80,000 - $45,000 - $25,000

= $20,000 - $150,000

= -$130,000

Since the value comes in negative which reflects the net loss for the year

We simply deduct the revenues from the expenses so that the net income or net loss could come

3 0
4 years ago
a. Long-term bonds have fewer risks than short-term bonds. b. Long-term bonds have more risks associated with them, and bring in
garri49 [273]

Complete Question:

What are the benefits of a long-term bond over a short-term bond?

Answer:

c. While long-term bonds have more risks associated with them, they have the potential to bring in higher returns for the initial investment.

Explanation:

A bond can be defined as a debt or fixed investment security, in which a bondholder (investor or creditor) loans an amount of money to the bond issuer (government or corporations) for a specific period of time. The bond issuer are expected to return the principal (face value) at maturity with an agreed upon interest (coupon), which are paid at fixed intervals.

Bonds are generally debts, which may be floated in different ways with respect to the issuer of the bond and its type. Bonds are used by government and corporate institutions to borrow money with interest and they also have to pay for the face value of the bonds at maturity.

Bonds are classified into two (2) main categories and these are;

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II. Short-term bonds: this type of bond mature quickly and as such paying the investor's principal on time. It covers a period of one to five years maximum in duration.

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5 0
3 years ago
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Answer:

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Kanban inventory system -

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The Kanban system enables to give indication for reordering or rearrange the stock  .

Hence , from the given information of the question ,

The correct answer is Kanban inventory system .

7 0
3 years ago
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luda_lava [24]

Answer:

$8,770.00

Explanation:

In this question we use the present value formula i.e shown in the attachment below:

Data provided in the question

Future value = $0

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The formula is shown below:

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So, after solving this, the answer would be $8,770.00

7 0
4 years ago
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6 0
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