Answer:
This machine is not economical. A further explanation is provided below.
Explanation:
Given:
First cost,
= $20,000
Saving,
= $1500
Increase by,
= $200
Decrease by,
= $150
Now,
The EUAW will be:
= 
= 
= 
= 
($) negative
Thus this machine is not economical.
Answer:
The current price per share is $84.16
Explanation:
The dividend discount model (DDM) estimates the value of a share/stock based on the present value of the expected future dividends from the stock. We will use the two stage growth model of DDM here as the growth in dividends of the stock is divided into two stages.
The formula for current price under two stage growth model is,
P0 = D0 * (1+g1) / (1+r) + D0 * (1+g1)^2 / (1+r)^2 + ... + D0 * (1+g1)^n / (1+r)^n +
[( D0 * (1+g1)^n * (1+g2)) / (r - g2)] / (1+r)^n
Where,
g1 is initial growth rate
g2 is the constant growth rate
r is the required rate of return
So, the price of the stock today will be,
P0 = 2.05 * (1+0.24) / (1+0.11) + 2.05 * (1+0.24)^2 / (1+0.11)^2 +
2.05 * (1+0.24)^3 / (1+0.11)^3 + [( 2.05 * (1+0.24)^3 * (1+0.07)) / (0.11 - 0.07)] / (1+0.11)^3
P0 = $84.1556 rounded off to $84.16
The reorder point for Adah's Logistics Company is <u>60 units</u>.
<h3>What is the reorder point?</h3>
The reorder point (ROP) is the specific level at which stock needs to be replenished to avoid customer dissatisfaction while achieving inventory leanness.
In other words, the reorder point is the point at which orders can be placed to replenish stock without encountering a stockout or overstocking.
The calculation of the reorder point is to multiply the average daily usage rate by the lead time in days, plus safety stock.
Data and Calculations:
Usage rate per day = 10 units
Lead time = 5 days
Safety stock = 10 units
Reorder point = 60 (10 x 5 + 10)
Thus, the reorder point for Adah's Logistics Company is <u>60 units</u>.
Learn more about reorder points at brainly.com/question/18914985
I don’t know the answer but I need points thank you and good luck
Answer:
7
$3
Explanation:
Equilibrium is the point where Quanitity supplied equals quantity demanded. The price at this point is known as the equilibrium price and the Quanitity at this point is known as equilibrium Quanitity.
Quanitity demanded is equal to Quanitity supplied at 7 units. Price at this point is $3
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I hope my answer helps you
