Answer:
the project's MIRR is 13.50 %.
Explanation:
MODIFIED INTERNAL RATE OF RETURN (MIRR)
-It is the rate that causes the Present Value of the Terminal Value (Future Cash flows at the end of the Project) to equal Present Value of Cash outflows.
-MIRR assumes a reinvestment rate at the end of the project
The First Step is to Calculate the Terminal Value at end of year 3.
Terminal Value (FV) = Sum of (PV x (1 + r) ^ 3 - n)
= $350 x (1.11) ^ 2 + $350 x (1.11) ^ 1 + $350 x (1.11) ^ 0
= $431.24 + $388.50 + $350.00
= $1,169.74
The Next Step is to Calculate the MIRR using a Financial Calculator :
(-$800) CFj
0 CFj
0 CFj
$1,169.74 CFj
Shift IRR/Yr 113.50 %
Therefore, the MIRR is 13.50 %
Answer:
EAC of Machine A is $6,788.64
EAC of Machine B is $6,094.62
We should purchase Machine B because of its ]lower EAC
Explanation:
Equivalent Annual Cost (EAC) = (Asset price x discount rate)/(1-(1+discount rate)^(-n))), in which n is the number of year for usage of asset.
EAC of Machine A is $6,788.64 = ($15,500x15%)/(1-(1+15%)^(-3))
EAC of Machine B is $6,094.62 = ($17,400x15%)/(1-(1+15%)^(-4))
Answer:
July 24 Cash $1470 Dr
Discount allowed $30 Dr
Account Receivable $1500 Cr
Explanation:
The receipt of payment for accounts due will cause a credit to accounts receivable for that particular debtor along with a debit to cash as payment is received. However, as there were some sales returns, the outstanding amount in the accounts receivble account was sales less sales returns that is 3100 - 1600 = 1500.
The terms state 2/10, n/30 which means 2% cash discount is allowed if payment is made within 10 days of sale. The payment is made within 10 days, as July 24 falls under this period so cash received will be 1500 * 98% = 1470.
While Accounts recevables will be reduced by 1500. The difference of 30 is discount allowed and it is an expense and will be debitted.
Answer:
True
Explanation:
A LLC, or Limited Liability Company is a company that providesliability protection to those that form it, and is formed when a group of persons file articles of organization which are also known as certificate of corporation, and they have to file those documents in the secretary of state´s corporation bureau.
I would say that the effects of such positive benefits as health insurance or paid parental leave will make the workplace much more attractive and cause a big rush to obtain employment at such places. It is well to remember that without the sacrifice of labour unions including jailings, beatings and even deaths these benefits would not be there ie they would not come just out of the goodness of someone's heart.
