Answer:
Horizontal merger
Explanation:
The merger of two firms producing personal computers is an example of a horizontal merger
A horizontal merger is a merger or business collaboration that happens between firms that operate in the same industry. The products being sold are similar and in the same market
Answer: Net Present Value = -$19,062
Explanation:
First, we'll compute the PV for the respective years
Present Value (Year-1)
= ![0.6211 \times [1 + (0.055 - 0.06)]^{1}](https://tex.z-dn.net/?f=0.6211%20%5Ctimes%20%5B1%20%2B%20%280.055%20-%200.06%29%5D%5E%7B1%7D)
=0.6179945
Present Value (Year-2)
= ![0.6211 \times [1 + (0.055 - 0.06)]^{2}](https://tex.z-dn.net/?f=0.6211%20%5Ctimes%20%5B1%20%2B%20%280.055%20-%200.06%29%5D%5E%7B2%7D)
=0.614904528
Present Value (Year-3)
= ![0.6211 \times [1 + (0.055 - 0.06)]^{3}](https://tex.z-dn.net/?f=0.6211%20%5Ctimes%20%5B1%20%2B%20%280.055%20-%200.06%29%5D%5E%7B3%7D)
=0.611830005
Now, we'll compute the Cash Flow for the respective years
Cash Flow (Initial)
= 
= -$209,306.07
Cash Flow (Year-1)
=
=$32,362.75
Cash Flow (Year-2)
=
=$81,313.44
Cash Flow (Year-3)
= 
=$147,099.68
Net Present Value:
= -$209,306.07 + ($32,362.75/1.141)+ ($81,313.44/1.142) +($147,099.68/1.143)
= -$209,306.07 +$28,388.38 + $62,568.05 + $99,288.10
= -$19,062
Because of there nerves in there brain man o-o
Answer:
There is a loss on disposal of $10000 and option C is the correct answer.
Explanation:
The units of production method charges depreciation based on the activity level that the asset is used for during a period
The depreciation rate under this method is,
Depreciation per hour = (240000 - 40000) / 10000 = $20 per hour
The depreciation for the Year 2015 and 2016 under the units of production method is,
2015 = 20 * 2400 = $48000
2016 = 20 * 2100 = $42000
The accumulated depreciation at the end of 2016 is = 48000 + 42000 = $90000
The carrying value at the end of 2016 is = 240000 - 90000 = $150000
The gain/loss on disposal = 140000 - 150000 = - $10000 or a loss of $10000
