Answer:
$980
Explanation:
Formula for Economic Order Quantity
Q = square root of (2*Annual demand* Order Cost)/Holding Cost
Where Q = Economic order quantity, which is 28 in our question.
28 = square root of (2* (15 units per month *12 months)* Order cost)/0.25*
28 = square root of 2*180*order cost/0.25
28 = square root of 360*order cost/0.25* (180 units *$10 per unit)
28= square root of 360* order cost/450
.
Square both sides
784 = 360* order cost/450
Multiply both sides by 450
352,800 = 360* Order cost
Hence order cost = 352800/360 = $980
Answer: One reason that consumers and businesses might not act rationally is <em><u>they may not realize their actions are inconsistent with their goals.</u></em>
Rationality stand for choice or state where an individual is rational, i.e. being supported on or accordant to rational motive. It connote the conformance of an individual beliefs with his reasons to do so.
<u><em>Therefore the correct option in this case is (b)</em></u>
Answer:
92.15%
Explanation:
Calculation for Green's cash tax rate
First step is to calculate the taxes payable
Taxes payable=$1,024,000+$51,200-$106,000-$25,600
Taxes payable=$943,600
Now let calculate the cash tax rate
Using this formula
Cash tax rate=Taxes payable/Pretax book income
Let plug in the formula
Cash tax rate=$943,600/$1,024,000
Cash tax rate=0.9215*100
Cash tax rate=92.15%
Therefore the Cash tax rate is 92.15%
Answer:
<em>c. $(265,460)</em>
Explanation:
The net present value of Project A shall be determined as needed.
The cash inflow of 31 December 2015 is five years from the current cash outflow and the net present value method uses the 18 per cent capital cost of the company.
The current value factor for 18 percent for 5 years is.4371, and $7.400,000 times.4371 is equivalent to $3.234.540, which is $265.460 lower than the current cash outflow of $3.5 million.
