Answer:
Let Lt = Loan in period t , t= 1...4
It = Investment in period t, t= 1...4
These are the decision variables
The objective is to maximize the net income which is the difference between Loan and investment in period 4
Investment income in period 4 = 110% of I4 = 1.1I4
Expense and loan in period 4 = 1.085 L4
So,
Maximize Z = 1.1I4-1.085 L4
Constraints
L1<= 3000
I1<= 4500
L1-I1= 100( Payroll payment)
L2<= 7000
I2<= 8000
L2+1.1I1-1.085L1-I2=120
L3<=4000
I3<= 6000
L3+1.12I2-1.085L2-I3=150
L4<=5000
I4<=7500
L4+1.13*I3-1.085L3-I4=100
1.10I4-1.085L4>=0
Lt, It>=0
Putting this in excel sheet,
See remaining part in pictures attached.
Explanation:
See pictures attached.
Answer:Equity multiplier=1.6
Explanation:
Debt equity ratio is given as debt/equity , Therefore
Debt = Debt equity ratio X Equity
=0.60 x $486,000
= $291,600
The Total assets given as Liability(debt+equity) will now be
=$291,600+$486,000
=$777,600.
Therefore Equity multiplier, Total assets/Total equity
=(777,600/486,000)=1.6
Answer:
Risk avoidance
Explanation:
Risk avoidance is a threat management strategy. The strategy involves making adjustments to the original project plans so that the risk triggering events are eliminated. Although the strategy may not work in all projects, it is the most effective way of preventing risks.
Risk avoidance does not mean abandoning projects that have risks. It entails a deliberate and well-thought approach to reduce vulnerabilities that pose a threat to the project.
Answer:
85 hot dogs and sale of $212.50
Explanation:
Price of 1 hot dog = $2.50
City hall charges = Variable cost of 1 hot dog = $1.50
Contribution margin = $2.50 - $1.50 = $1.00
Things to buy = Total Fixed Cost = $85
Break-even Point (hot dogs) = $85 / $1 = 85 hot dogs
Break-even Point (Sales) = 85 x 2.50 = $212.50
So, the break-even point is 85 hot dogs and sales of $212.50.
Answer:
The correct answer is letter "D": All costs that are used to generate revenue are recorded in the period the revenue is recognized.
Explanation:
According to the basic matching principle, revenues and the expenses necessary to obtain those revenues must be recorded during the same accounting period. This is part of what constitutes the accrual basis method of accounting that states expenses and revenue should be recognized when incurred not when cash is received.