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Brilliant_brown [7]
3 years ago
7

Replace an existing asset: You have a 2000 Nissan that is expected to run for another three years, but you are considering buyin

g a new Hyundai before the Nissan wears out. You will donate the Nissan to Goodwill when you buy the new car. The annual maintenance cost is $1,500 per year for the Nissan and $200 for the Hyundai. The price of your favorite Hyundai model is $18,000, and it is expected to run for 15 years. Your opportunity cost of capital is 3 percent. Ignore taxes. When should you buy the new Hyundai?

Business
1 answer:
bixtya [17]3 years ago
7 0

Answer:

Drive Nissan for three more years then buy a Hyundai.

Explanation:

See the attached picture for further explanation.

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4.
valentina_108 [34]
<span>Salary is the correct answer. </span>
3 0
3 years ago
Which of the following will usually be found on an income statement prepared using absorption costing? Contribution Margin/ Gros
chubhunter [2.5K]

Answer:

C) No/Yes

Explanation:

An income statement (profit and loss account) is one of the financial statements of a company and shows the company’s revenues and expenses during a particular period. It indicates how the revenues are transformed into the net income or net profit

Absorption cost is a method of calculating the cost of a product or enterprise by taking into account indirect expenses (overheads) as well as direct costs.

How do you calculate total period cost under absorption costing?

Income statement shows Sales – Cost of Goods sold = Gross Margin (or Gross Profit) – Operating Expenses = Net Income and is based on the number of units SOLD.

3 0
3 years ago
Assume a firm's resources and capabilities are costly to imitate. This is because rival companies do not clearly understand the
Nana76 [90]

Answer:

True

Explanation:

A core competency refers to those unique capabilities built by an organization which are hard to imitate by rivals and which give such an organization a competitive advantage over the rivals.

A casual ambiguity refers to the state of non clarity with respect to how consequences relate to the initial state of a phenomenon.

In the case of firm, the phenomenon being the built up to core competency which the rivals are unable to decipher with respect to the relationship between the firm's resources and capabilities.

6 0
3 years ago
Fluegge Inc. has provided the following data concerning one of the products in its standard cost system. Variable manufacturing
Softa [21]

Answer:

$14,016 favorable

Explanation:

The computation of the raw materials price variance is shown below:

= Actual Quantity × (Standard Price - Actual Price)

= 23,360 liters × ($5.40 - $4.80)

= 23,360 liters × $0.6

= $14,016 favorable

We simply deduct the actual price from the standard price and then multiplied it by the actual quantity so that actual value can come

8 0
3 years ago
A key objective for a retail layout is to A. expose customers to​ high-margin items. B. balance​ low-cost storage with​ low-cost
BARSIC [14]

Answer:

A. expose customers to​ high-margin items.

Explanation:

Retail layout refers to how retailers organize the shelf space and allocate all the products in a way that allows them to influence customer decisions. The objectives of the layout include creating a good customer experience and allowing customers to access easily the products with higher margins to generate more value for the company. According to this, the answer is that a key objective for a retail layout is to expose customers to​ high-margin items.

8 0
3 years ago
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