Options:
A. $18,500,000
B. $19,000,000
C. $19,500,000
D. $20,000,000
E. $20,500,000
Answer: C. $19,500,000.
Explanation:MVA(MARKET VALUE ADDED) is a measurement that is used to describe the difference between the market value to a company and the capital contributed by both the shareholders and the bondholders.
WHEN THE MARKET VALUE ADDED IS HIGH IT SIGNIFIES THAT THE COMPANY IS GENERATING ENOUGH MONEY TO COVER THE COST OF CAPITAL.
MVA= (market value-stockholders contribution).
Market value =$39.5*1000000shares
= $39,500,000
MVA= $39,500,000-$20,000000
MVA=$19,500,000.
Answer:
the amount of depreciation for Year 1 is $3,948
Explanation:
Step 1 : Determine Cost of Equipment
<em>Cost according to IAS 16 means purchase price plus other costs directly incurred in bringing the asset to location and condition of use as intended by management.</em>
Purchase Price $31,000
Installation and testing $2,800
Total Cost $ 33,800
Step 2 : Determine the depletion rate
Depletion rate = (Cost - Salvage Value) ÷ Estimated Production
= ($ 33,800 - $5,600) ÷ 100,000 units
= 0.282
Step 3 : Determine the Depreciation Expense
Depreciation Expense = Depletion rate x Units Produced
= 0.282 x 14,000 units
= $3,948
Conclusion
the amount of depreciation for Year 1 is $3,948
Answer:
b. promote economic growth
Explanation:
Economic growth refers to a rise in a nation's per capita income which is accomplished by a rise in the national output and increase in the Gross Domestic Product (GDP).
Economic development on the other hand is accomplished when a nation's GDP rise is accompanied by a rise in the standard of living of it's people.
A rise in the standard of living of the people is directly related with rise in the per capita income since, per capita income is a measure depicting average income earned by a person in a region.
Thus, in order to raise the standard of living of it's people, a nation should promote economic growth.
Answer:
debit Factory Overhead and credit Utilities Payable
Explanation:
The journal entry to record the accrual of factory utilities is to: Debit Expense Account - Factory Overhead and Credit Liability Account -Utilities Payable.
Answer: Psychological
Explanation: A consumers intention to buy the product doesn't always lead to the actual purchase. There are various factors which needs to be considered. Psychological, substitution effect, the need of the product.
Gabbie will look for two things while purchasing the fight ticket, as she is not a morning person , she will prefer a flight in the afternoon or an evening or a night flight. And she would specifically look for a flight with WIFI. So this is psychological effect which influences the decision of Gabbie.
