a. The expected value of the cash flow is $7,212.
b. The expected net present value is $-2,976.46.
c. Debby should not buy the new equipment.
As given in the question, Debby’s Dance Studios is considering the purchase of new sound equipment that will enhance the popularity of its aerobics dancing. The equipment will cost $24,300. Debby is not sure how many members the new equipment will attract, but she estimates that her increased annual cash flows for each of the next five years will have the following probability distribution. Debby’s cost of capital is 10 percent. Cash flow Probability $ 3,980 .4 5,280 .2 8,140 .2 10,600 .2
(a) Expected Value of Cash Flow is a statistical term that identifies the average value of each of the potential results of a random variable weighted by its probability of occurrence. Calculation of expected value of cash flow can be done as follows:
Expected Value= $3,980(0.4) + $5,280(0.2) + $8,140(0.2) + $10,600(0.2)
=$7,212
(b) Use Appendix D.Net present value (NPV) is the difference between the present value of cash inflows and the present value of cash outflows over a period of time. Calculation of expected net present value can be done as follows: Net present value (NPV) = Present value of cash inflows - Cost of investment or Initial investment
Thus,Calculation of Expected net present value in Appendix D is as follows:
YearCash FlowPresent Value of $1Present Value of Cash Flow1: $3,9800.9091 $3,618.312 $5,2800.8264 $4,361.283 $8,1400.7513 $6,120.894 $10,6000.6830 $7,223.045- $24,3001.0000- $24,300.00
Total$-2,976.46
Therefore, Expected net present value is $-2,976.46
(c) Should Debby buy the new equipment? As Expected net present value is $-2,976.46, Debby should not buy the new equipment.
Learn more about net present value https://brainly.com/question/18848923
#SPJ11
On January 1, Year 1, Willette Company sold $240,000 of 6% ten-year bonds. Interest is payable semiannually on June 30 and December 31. The bonds were sold for $180,181, priced to yield 10%. Using the straight-line method, what is the amount of interest expense that Willette will report for the six months ended June 30, Year 1?
Answer:
$10,191
Explanation:
Calculation for the amount of interest expense that Willette will report for the six months ended June 30, Year 1
First step is to calculate the Semiannual interest payment using this formula
Semiannual interest payment = Face amount × (Rate ÷ 2)
Let plug in the formula
Semiannual interest payment = $240,000 × (6% ÷ 2)
Semiannual interest payment= $7,200
Second step is to calculate the Allocation of discount using this formula
Allocation of discount = (Face value of bonds − Issue price) ÷ Number of interest payments
Let plug in the formula
Allocation of discount = ($240,000 - $180,181) ÷ (10 years × 2 payments per year)
Allocation of discount = $59,819 ÷ 20
Allocation of discount = $2,991
Now let calculate the Interest expense using this formula
Interest expense = Interest payment + Allocation of discount
Let plug in the formula
Interest expense = $7,200 + $2,991
Interest expense = $10,191
Therefore the amount of interest expense that Willette will report for the six months ended June 30, Year 1 will be $10,191
Explain the project planning steps
Set goals
Prioritize tasks
Create a schedule
Communicate.
Luna company accepted credit cards in payment for $6,000 of services performed during july. The credit card company charged luna a 4 percent service fee; it paid luna as soon as it received the invoices. Required based on this information alone, what is the amount of net income earned during the month of july?.
The net income earned is $240
The term net income refers to a company's net earnings. It is determined by subtracting total expenses from total receipts. The term total expenditure can refer to a variety of things, such as taxes, business expenditures, interest payments, fees, and depreciation. The calculation of shareholders' earnings per share is aided by net income.
1.
Dr. Account Receivable $5,760
Dr. Service charges $240
Cr. Service revenue $6,000
2.
Dr. Cash $5,760
Cr. Accounts receivable $5,760
Working Notes
Assuming all the sales are performed on the account first Then cash is received after the issuance of the invoice.
Service revenue $6,000
Less: Credit card expenses $ (240)
Net income $5,760
Service charges = $6,000 x 4% = $240
Read more about Net income on:
https://brainly.com/question/15530787
#SPJ9
under the system of state banking that prevailed after the charter of the first bank of the united states had expired, . multiple select question. banknotes were based on a uniform pattern pioneered in virginia and introduced during the jefferson administration counterfeiting of banknotes was easy
"Counterfeiting of banknotes was easy" under the system of state banking that prevailed after the charter of the first Bank of the United States had expired. Thus, Option C is correct.
During this period, which lasted from 1811 to 1863, there was no central banking authority, and each state-chartered its own banks. This led to a proliferation of different banknotes, many of which were easily counterfeited due to poor security features and the lack of standardized printing methods.
As a result, counterfeiting became a significant problem, and many people lost money due to fraudulent notes. It wasn't until the National Currency Act of 1863 that the federal government established a national banking system and created a uniform currency, which helped to combat counterfeiting.
Based on this explanation, Option C is correct.
Learn more about national banking system https://brainly.com/question/30449804
#SPJ11
The repair service that fixes your farming equipment doesn’t seem to fix your plow correctly. The technician says that if you are not happy, you can buy a new plow from him, but the cost is extremely high. Do you have other options available to you for higher-quality repairs or cheaper equipment? Explain your answer.
Answer:
Your best option would be for higher quality repairs and higher quality equipment, this would save you more money and time in the long run where you have the ability to do other things.
Explanation:
Mark as Brainliest please!
Ill give u a cookie
Answer:
No, because in command economies, there is no competition. So, there are no other repair services that would offer higher-quality repairs or cheaper equipment. Additionally, no incentive exists for the technician to provide high-quality service.
Explanation:
the actual answer
Which of the following is NOT a repayment plan option?
O Extended repayment plan
O Loan forgiveness repayment plan
O Income sensitive repayment plan
O Graduated repayment plan
Answer: Loan forgiveness repayment plan.
Explanation:
The Extended Repayment Plan: This is a repayment plan option whereby the loan can be paid back for a period of about 25 years.
The Income-Sensitive Repayment Plan: This is a repayment plan option for those who want low income. Here, payment can either increase or reduce based on what the person earns annually.
The Graduated Repayment Plan: This is a repayment plan option which increases every two years.
The loan forgiveness repayment plan is not a repayment plan option.
What is a source of equity financing?
A. securing short-term loans from a family member
B. receiving trade credit from suppliers
C. selling personal assets to raise funds
D. securing government loans
E. borrowing money from friends
The new dolphin tank at the aquarium has a radius of 75 feet and a height of 20 feet. What is the volume of the dolphin tank? Round to the nearest tenth. Use 3. 14 for Pi. 9,420. 0 cubic feet 88,312. 5 cubic feet 94,200. 0 cubic feet 353,250. 0 cubic feet.
The volume of the dolphin tank is 3,530,000 cubic feet.
To calculate the volume of the new dolphin tank at the aquarium, we need to use the formula for the volume of a cylinder:
V = πr²h
where r is the radius and h is the height of the tank.
Substituting the given values, we get V = 3.14 x 75² x 20, which simplifies to 3.14 x 56,250 x 20.
Multiplying these values together, we get 3,540,000 cubic feet. Rounding this answer to the nearest tenth gives us 3,530,000 cubic feet.
This volume of the dolphin tank would be sufficient to provide a comfortable and safe habitat for dolphins to live and thrive in.
Learn more about the volume at https://brainly.com/question/1572474
#SPJ11
Levels of agriculture?
Answer:
Helloooo
the steps are :-
Soil preparationmanuringirrigationweedingharvestingstoringExplanation:
thanks hope it helps
Which expense category will most likely be changed to allow money for the purchase of a car?
O savings
groceries
Outilities
o entertainment
It is likely that the savings category will be changed to allow money for the purchase of a car.
What is saving?Saving refers to the act of setting aside a portion of income or resources for future use. It is a critical aspect of personal finance as it allows individuals to plan for their long-term financial goals and provides a safety net in case of unexpected expenses or emergencies.
Saving can be done in a variety of ways, such as opening a savings account, investing in stocks or other assets, or simply keeping cash in a safe place. The amount saved can be small or large, depending on one's income and financial goals.
Some people save for specific goals, such as a down payment on a house or a college education for their children, while others save to build an emergency fund or to save for retirement.
Learn more about saving, here
https://brainly.com/question/30004719
#SPJ5
which of the following statements regarding distribution channels is (are) best? question 27 options: there are only two members in any distribution channel. the transaction channel is concerned with transfer of ownership. the distribution channel is concerned with the transfer of goods. all of the above are true. the transaction channel is concerned with transfer of ownership, and the distribution channel is concerned with the transfer of goods.
The best statements regarding distribution channels are D. All of the above are true.
There are only two members in any distribution channel: This statement is true in the context of direct distribution channels, which involve a producer and a consumer. In this case, there are no intermediaries, and the producer sells products directly to the consumer.
The transaction channel is concerned with the transfer of ownership: This is accurate, as the transaction channel deals with the processes and legal aspects involved in the transfer of ownership from the producer to the consumer. This includes negotiating prices, terms of sale, and completing the necessary paperwork to finalize the transaction.
The distribution channel is concerned with the transfer of goods: This statement is also true, as the primary function of distribution channels is to facilitate the movement of goods from the producer to the consumer. The distribution channel ensures that products reach their intended customers in a timely and efficient manner.
In summary, all three statements are true, as they describe various aspects of distribution channels. Distribution channels can be direct or involve intermediaries, and they are responsible for both the transfer of goods and the transfer of ownership between the producer and the consumer. Therefore, the correct option is D.
The question was incomplete, Find the full content below:
which of the following statements regarding distribution channels is (are) best?
A. there are only two members in any distribution channel.
B. the transaction channel is concerned with transfer of ownership.
C. the distribution channel is concerned with the transfer of goods.
D. all of the above are true.
Know more about Distribution channels here:
https://brainly.com/question/29652205
#SPJ11
Which of the following might vary in on online purchase depending on where the purchaser lives?
A. The quality of the object
B. The sales tax charged
C. The appearance of the item
D. The retail price of the item
Answer:
The sales tax
Explanation:
Compared to other methods of calculating depreciation, how does the declining balance method affect net income in the first year?.
It typically consequences in the lowest net income. The straight-line method depreciates an asset by means of an equal amount each accounting period.
The declining balance approach allocates a greater quantity of depreciation in the until now years of an asset's existence than in the later years.
How does depreciation approach have an effect on net income?Depreciation and Net Income
A depreciation cost reduces net earnings when the asset's price is allotted on the earnings statement. Depreciation is used to account for declines in the cost of a constant asset over time. In most instances, the constant asset is commonly property, plant, and equipment.
Learn more about depreciation here:
https://brainly.com/question/1203926#SPJ4You are an oat farmer who decides to sell a
call with a strike price of $4.90 for a premium of
$0.25.
If the futures price ends up at $4.85 (and your cash price is
$4.50), find your net price.
To calculate the net price as an oat farmer who sold a call option, we need to consider the premium received and the difference between the strike price and the futures price.
In this scenario, the strike price of the call option is $4.90, and the premium received is $0.25. The futures price ended up at $4.85, which is lower than the strike price. However, the cash price at $4.50 is even lower than the futures price.Since the futures price is below the strike price, the call option is out of the money and will not be exercised by the buyer. Therefore, as the seller, you get to keep the premium received.The net price, in this case, would be the cash price ($4.50) plus the premium received ($0.25):Therefore, the net price as an oat farmer in this situation would be $4.75.
learn more about premium here:
https://brainly.com/question/14704469
#SPJ11
If I were journalizing a prepaid expense, prepaid rent to be specific, what journal would I journalize the transaction in?
I know I have to debit prepaid rent and credit cash in bank, I just don't know which journals to use.
The journal entry for prepaid rent would be a debit to Prepaid Rent and a credit to Cash or Bank Account.
If you are journalizing a prepaid expense for prepaid rent, the journal entry would be
Debit - Prepaid Rent
Credit - Cash or Bank Account
The debit to Prepaid Rent account will increase the balance of the prepaid rent asset account, which represents the portion of rent that has been paid in advance but has not yet been used or consumed. The credit to Cash or Bank Account will decrease the balance of the cash or bank account, reflecting the payment made for the prepaid rent.
The journal entry records the payment of rent in advance as a prepaid expense, which will be recognized as an expense over the period for which the rent has been paid. As time passes, a portion of the prepaid rent will be recognized as an expense in the income statement, and the balance in the prepaid rent account will be reduced accordingly.
Learn more about Prepaid Rent here
brainly.com/question/28481564
#SPJ1
Company Dept. A Dept. B
Estimated manufacturing overhead $500,000 $338,000 $162,000
Estimated direct labor cost $250,000 $130,000 $120,000
Actual manufacturing overhead $720,000 $400,000 $320,000
Actual direct labor cost $300,000 $160,000 $140,000
Based on this information, the pre-determined overhead rate per direct labor dollar for Dept. B is $_____.
The pre-determined overhead rate per direct labor dollar for Dept. B is 1.35.
What is manufacturing overhead?
Manufacturing overhead costs are the cost associated with running a manufacturing facility.
Examples of factory overhead include
indirect labor costsfactory rentdepreciation of plants and machinerySales and administrative costWhat is direct labour cost?The direct labour cost is the cost directly involved in the production of goods and services.
What is the pre-determined overhead rate per direct labor dollar for Dept. B?The pre-determined overhead rate per direct labor dollar for Dept. B = Estimated manufacturing overhead / Estimated direct labor cost
= $162,000 / $120,000 = 1.35
To learn more about overhead costs, please check: https://brainly.com/question/8054214
The set of activities that transforms raw resources into goods and services is called the:_______
The set of activities that transforms raw resources into goods and services is called the "production process."
The production process refers to the series of activities involved in converting raw materials, resources, or inputs into finished goods or services that can be consumed or sold. It encompasses all the steps and operations required to create, assemble, or deliver a final product or service.
The production process typically involves several stages, including sourcing and acquiring raw materials, manufacturing or processing the materials into the desired form, quality control measures, packaging, distribution, and any additional value-added steps specific to the industry or sector. It may also involve coordination and management of various resources, such as labor, machinery, technology, and facilities.
By efficiently managing the production process, organizations can optimize their resource utilization, minimize waste, improve productivity, and ensure the timely delivery of goods or services to meet customer demands. The production process is a critical aspect of any business or industry and plays a vital role in the creation and delivery of products or services to the market.
Learn more about production process here:
https://brainly.com/question/31310887
#SPJ11
under the headright system, anyone who brought in a sizable number of servants would immediately acquire a large estate.
The statement "under the headright system, anyone who brought in a sizable number of servants would immediately acquire a large estate" is true.
The headright system was a land grant system used in colonial America, particularly in Virginia and Maryland, where land was granted to individuals who brought in new settlers or indentured servants to the colony. Under this system, anyone who brought in a sizable number of servants would immediately acquire a large estate.
The headright system was a way for the colonies to encourage immigration and to attract new settlers, who would help to increase the population and develop the land.
Learn more about headright: https://brainly.com/question/13481206
#SPJ4
As a project manager, part of your communication plan is to perform backlog clean-up every month. What additional details should the communication plan include? Select all that apply.
The additional details that should be included in the communication plan for performing backlog clean-up every month are: Location, Type of communication, Recipients, and Duration.
What additional details should be included in the communication plan?The communication plan for performing backlog clean-up every month should include details such as the Location where the clean-up will take place, the Type of communication that will be used (e.g., in-person meeting, email, video conference), the Recipients who need to be informed or involved in the clean-up process.
The Duration of the clean-up session (e.g., how long it is expected to take). Including these additional details in the communication plan helps ensure that everyone is aware of when and how the backlog clean-up will be conducted, facilitating effective coordination and productivity improvement in the organization.
Full:
As a project manager, part of your communication plan is to perform backlog clean-up every month. What additional details should the communication plan include? Select all that apply. Location Type of communication Recipients Duration
Read more about communication plan
brainly.com/question/20563123
#SPJ1
How to treat someone very mean on their special day??
When I mean special day I mean
Mothers day
Birthday
Meeting
whoever answers the questions correctly and best I will mark them Brainly and will give them more points
Answer:
birthday
Explanation:
- give them a happy birthday card but glue the card shut
- give them a wrapped present but inside the box put nothing but glitter in it
Risk should be evaluated solely by the magnitude or severity of expected harm, not probability.TrueFalse
Risk should only be assessed in terms of the size or magnitude seriousness of the projected harm, not chance. False.
As Probability and Severity are combined to establish Risk, the major portion of the matrix displays the Risk Levels. Low, Medium, High, and Extremely High are the available levels. We need a fairly constrained likelihood and degree of severity in order to have a low level of risk.
The impact or damage that would result from the risk realization is what is meant by "severity." Probability refers to how likely it is that the risk will materialize. The amount of time it will take to realize that the risk has actually materialized is known as "detectability." Probability, which is frequently rated on a five-point scale: Frequent, is the possibility that the risk will materialize.
Learn more about magnitude visit: brainly.com/question/30337362
#SPJ4
when is subsidy necessary in comodity supply
Answer:
A subsidy is a benefit given to an individual, business, or institution, usually by the government. It is usually in the form of a cash payment or a tax reduction. The subsidy is typically given to remove some type of burden, and it is often considered to be in the overall interest of the public, given to promote a social good or an economic policy.
Explanation:
Which method of calculating inventory cost allows a business to store
inventory without indicating which batch it belongs to?
A. weighted average method
B. last in, first out (LIFO)
C. first in, first out (FIFO)
D. weighted average sales price method
first in, first out (FIFO) method of calculating inventory cost allows a business to store inventory. Inventory refers to all of the items, goods, commerce, and materials held by a company for the purpose of reselling in the market for a profit.
For instance, if a newspaper seller uses a vehicle to deliver newspapers to consumers, only the newspaper is considered inventory. The automobile will be considered an asset FIFO. The inventory is classified as an asset on the university's balance sheet. The inventory can be any physical property, merchandise, or other sales items that are retained for the future resale.
To learn more about inventory, click here.
https://brainly.com/question/15118949
#SPJ1
is the management function that involves allocating resources, assigning tasks, and establishing procedures for accomplishing the organizational objectives.
Answer:
Organizing.
Explanation:
Organizing can be defined as a strategic process in which resources are assembled and human efforts are coordinated and then integrated into a unitary system so as to achieve organizational goals and specified objectives.
Generally, organising helps to create order in an organization by eliminating chaos, and work conflicts. Also, it enhances job specialization and responsibility sharing by creating an environment that is suitable for teamwork.
For example, the manager of a business firm that made two or more coordinators to take care of activities relating to registration and refreshment at an annual general meeting (AGM).
In conclusion, organizing is a management function and it's is largely dependent on allocating resources, assigning or delegating tasks to others, and establishing procedures (policies) for accomplishing the organizational objectives.
Every T account has two sides, credit and credit side.
True
False
Answer:
False
Explanation:
The two sides are DEBIT and credit.
In contrast to the post-1980s United States, the "Asian Tiger" economies: a. enjoyed more laissez-faire economies. b. utilized national non-military technology policies involving heavy government subsidies to selected strategic industries. c. were slow to patent innovations. d. showed less international orientation
In contrast to the post-1980s United States, the "Asian Tiger" economies utilized national non-military technology policies involving heavy government subsidies to selected strategic industries.
This approach involved the government identifying certain industries deemed to be strategically important and providing significant financial support, including subsidies, to help them grow and develop. The goal was to create national champions that could compete internationally in these industries.
This approach was not a laissez-faire one, as the government played a significant role in guiding the development of these industries. However, it did lead to significant economic growth in these countries, as the targeted industries were often high-growth and high-value.
The Asian Tiger economies were also relatively slow to patent innovations, in part because of a focus on rapid industrialization and catching up with more developed nations. However, this did not necessarily indicate a lack of innovation, as these economies were often able to rapidly adopt and adapt new technologies developed elsewhere.
Learn more about technology here:
https://brainly.com/question/9171028
#SPJ11
In contrast to the post-1980s United States, the "Asian Tiger" economies utilized national non-military technology policies involving heavy government subsidies to selected strategic industries.
The answer is b. The "Asian Tiger" economies utilized national non-military technology policies involving heavy government subsidies to selected strategic industries, which is in contrast to the laissez-faire economies of the post-1980s United States. These policies helped them to achieve rapid economic growth and development. While they did focus on domestic industries, they also had a strong international orientation and were active participants in global trade. However, they may have been slower to patent innovations compared to the US.
learn more about laissez-faire economies here:
https://brainly.com/question/29771583
#SPJ11
A 3rd degree burn has burnt only part of the epidermis. the epidermis only. the epidermis and dermis. the epidermis and part of the dermis.
A 3rd degree burn has burnt the epidermis and part of the dermis. Option 3 is the correct answer.
A 3rd degree burn is a severe burn that extends through the entire thickness of the skin. In a 3rd degree burn, the epidermis, which is the outermost layer of the skin, and part of the dermis, which is the layer beneath the epidermis, are affected. This type of burn destroys the full thickness of the epidermis and can extend into the deeper layers of the dermis.
The epidermis serves as a protective barrier for the body, preventing the entry of harmful substances and pathogens. It also helps regulate body temperature and plays a role in the production of vitamin D. The dermis provides structural support, contains blood vessels, nerve endings, sweat glands, and hair follicles.
Due to the severity of the injury, 3rd degree burns often require medical intervention and specialized treatment. They can result in extensive tissue damage, loss of sensation, and impaired healing. Treatment may involve surgical interventions, such as skin grafting, to promote healing and minimize the risk of infection. Rehabilitation and long-term care are often necessary to manage the physical and psychological effects of a 3rd degree burn.
Hence, option 3 is the right choice.
To know more about epidermis , visit https://brainly.com/question/13450121
#SPJ11
Oriole company has beginning and ending raw materials inventories of $106000 and $130000, respectively. if direct materials used were $290000, what was the cost of raw materials purchased?
If direct materials used were $290000, the cost of raw materials purchased
$130000-$106000= $24
$290000+$24=$314000
Beginning and ending raw materials inventoriesYou can find the importance of a company's beginning raw materials inventory by bringing all the direct and indirect materials from the start of a specified duration and adding up their costs to discover their total worth. This is the ending raw materials inventory from the prior accounting period. The second inventory type is work-in-process, which is raw materials that are in the cycle of being transformed into finished interests.
If direct materials used were $290000 the cost of raw materials bought was $314000.
To learn more about the ending raw materials inventories visit the link
https://brainly.com/question/13160417
#SPJ4
What is the relationship between price elasticity of demand that a firm faces and the mark-up it can charge? Explain mathematically and intuitively. You need to derive the mathematical equation. Explain why the marginal cost curve is typically increasing in the short-run.
The firm's profit is $681.25; Q1=25 and Q2=12.5; P1=30 and P2=23.75; the firm can charge a greater marginal revenues still sell a sizable amount. In the less elastic market, the company can increase its prices and increase its profits.
(a) The monopoly should produce where marginal revenue (MR) equals marginal cost (MC) in order to maximise profits. The MR is determined by each market's change in total income, twice the slope of the demand curve.
When one extra unit is sold. MR1 = 55 - 2Q1 and MR2 = 70 - 4Q2 as a result. We can solve for the ideal output levels Q1=25 and Q2=12.5 by setting these to MC = $5 (b) We insert these output levels into the demand curves to calculate the price that will win in each market. P1 is therefore $30, while P2 is $23.75. The difference between total sales and total cost will be the company's profit. The sum of the revenues in each market, calculated as price multiplied by quantity, is the total revenue. TR = P1Q1 + P2Q2 = $1118.75 as a result.
To know more about Marginal Revenue visit:
https://brainly.com/question/31684337
#SPJ4
under the lcm approach the market value is defined as
Under the Lower of Cost or Market (LCM) approach, market value is defined as current replacement cost. Hence the correct answer is option c.
An accounting theory known as the Lower of Cost or Market (LCM) approach mandates that businesses value their inventory at the lower of its cost or market value.
Market value is the current replacement cost, or the sum necessary to replace the inventory with equivalent or comparable commodities at the going rate in the marketplace. Inventory must be written down to its market value if its market value is less than its recorded cost in order to reflect the reduced value on the financial statements.
To know more about current replacement cost, refer
https://brainly.com/question/28960531
#SPJ4