Brad's Diner is expanding and expects operating cash flows of $32,000 a year for 4 years as a result. This expansion requires $39,000 in new fixed assets. These assets will be worthless at the end of the project. In addition, the project requires $3,000 of net working capital throughout the life of the project. What is the net present value of this expansion project at a required rate of return of 12 percent

Answers

Answer 1

Answer: $57,101.73

Explanation:

First find the present value of the cash inflows. The $32,000 is a constant payment so is an annuity. The net working capital will be realized at the end of the project as well.

Present value of cash inflows = (32,000 * Present value interest factor of an annuity, 4 years, 12%) + 3,000/ (1 + 12%)⁴

= (32,000 * 3.0373) + 1,906.55

= ‭$99,101.73

NPV = Present value of inflows - Outflows

= ‭99,100.15‬ - (39,000 + 3,000)

= $57,101.73

Brad's Diner Is Expanding And Expects Operating Cash Flows Of $32,000 A Year For 4 Years As A Result.

Related Questions

Rorry Company uses a job cost system. Overhead was applied to production using a rate of 78 percent of direct labor costs. What is the journal entry when direct labor costs are $18,000

Answers

Answer:

Dr Work in Process Inventory for $14,040

Cr Manufacturing Overhead for $14,040

Explanation:

Based on the information given we were told that the company applied Overhead to production using a rate of 78% of direct labor costs which means that the journal entry when direct labor costs are the amount of $18,000 will be :

Dr Work in Process Inventory for $14,040

Cr Manufacturing Overhead for $14,040

(78%*18,000)

If a firm is deciding upon the acceptance of a project with a value of $10,000, and if the client has a good credit history, the firm will most likely use the grid chart in the decision-making process.
a) true
b) false

Answers

Answer:

FALSE

Explanation:

The Decision-Making Process includes Identifying the need for a decision, Determining the outcome of the decision, Identifying all alternative actions, the benefits and consequences of each and Making and Evaluating the decision.

Decision-Making Tools includes the use of decision-making grid to differenciate or separates factors of decision to be made, the use of Gantt chart to shows phases of project to completion and Information technology and others.

The grid chart shows the relationship between input and output documents.

A payroll tax is collected by which of the following methods?
A.
It is automatically deducted as a percentage of the paycheck.
B.
The paycheck is brought to the bank for the tax to be deducted.
C.
The payroll tax is paid with the income tax on April 15 of each year.
D.
The government deducts a percentage of your paycheck directly from your personal bank account.


Please select the best answer from the choices provided

A
B
C
D

Answers

A. It’s automatically deducted as a % of the paycheck. This is based on the assumption you are not a contracted employee receiving a 1099 tax form.

Answer:

A.

It is automatically deducted as a percentage of the paycheck.

Explanation:

just did it on the exam

On January 1, Vermont Corporation had 48,400 shares of $9 par value common stock issued and outstanding. All 48,400 shares had been issued in a prior period at $22 per share. On February 1, Vermont purchased 910 shares of treasury stock for $24 per share and later sold the treasury shares for $18 per share on March 1. The journal entry to record the purchase of the treasury shares on February 1 would include a

Answers

Answer:

Debit to Treasury Stock for $21,840

Explanation:

Cost = Number of Stock * Cost per Stock

Cost = 910 shares * $24

Cost = $21,840

Date      Accounts                Debit      Credit      

Feb 1     Treasury Stock    $21,840      

                     Cash                               $21,840

Note: When company reacquire its outstanding shares and not retire, it is called treasury stock.

QS 23-11 Selection of sales mix LO P3 Excel Memory Company can sell all units of computer memory X and Y that it can produce, but it has limited production capacity. It can produce two units of X per hour or three units of Y per hour, and it has 4,700 production hours available. Contribution margin is $6 for product X and $5 for product Y. 1. Calculate contribution margin per production hour. 2. What is the most profitable sales mix for this Company

Answers

Answer:

Contribution margin per production hour

Product X = $12

Product Y = $15

Explanation:

Part 1

Contribution margin per production hour

Contribution margin per production hour = Contribution ÷ Time to produce one product

Therefore,

Product X =  $6 ÷ 0.5

                 = $12

Product Y =  $5 ÷ 0.33

                 = $15

Part 2

The Demand Units of Product X and Product Y are missing so the calculation of profitable sales mix is impossible.

This mix would have been calculated by :

Manufacturing all the units of Product Y since Y has the highest contribution margin per production hour (demand for Y × hours required per unit)With the remainder of hours out of 4,700 after producing all of Product Y demand, we would then produce Product X.

ABC Company issues $425,000 of bonds on January 1, 2021 that pay interest semiannually on June 30 and December 31. A portion of the bond amortization schedule appears below:
Cash Interest Change in Carrying
Date Paid Expense Carrying Value Value
01/01/2021 $599,391
06/30/2021 $14,875 $11,988 $-2,887 596,504
12/31/20211 4,875 11,930 -2,945 593,559
What is the original issue price of the bonds?
a. $592,557
b. $440,000
c. $590,534
d. $459,800

Answers

Answer:

$599,391

Explanation:

Based on the information given we were told that the bonds amount of $425,000 which is the Face Value of Bonds were issued by the company on January 1, 2021 which means that ORIGINAL ISSUE PRICE of the bonds will be the Carrying Value or the Issues Value of Bonds of the amount of $599,391 that was issued on the same date the Company issues the face value bonds of the amount of $425,000 which is January 1, 2021 ( 01/01/2021).

Therefore the original issue price of the bonds will be $599,391

Germany is capital abundant country and Japan is labor abundant country. If computers are produced mostly by capital and beer is produced mostly by labor, the H-O model predicts that Question 22 options: Japan will export computers in exchange for beer. Germany will export computers in exchange for beer. Germany is too small to be of economic interest to Japan. Computers and beer don't mix, so trade cannot increase either country's well-being.

Answers

Answer:

If computers are produced mostly by capital and beer is produced mostly by labor, the H-O model predicts that

Germany will export computers in exchange for beer.

Explanation:

The H-O model or Heckscher-Ohlin theory is an economic model about the comparative advantages of nations in international trade.  The model tries to explain the equilibrium of trade existing between two countries that have varying specialties and natural resources.  According to the H-O model, countries export more goods and services for which they have plenty resources than they do for goods and services for which they have scarce resources.  For example, if a country has capital in abundance, it will export more of capital-intensive products while it will import labor-intensive products, because it has scarce labor resources.

8-4 Valuing Commercial Real Estate BuildingOne Properties is a limited partnership formed with the express purpose of investing in commercial real estate. The firm is currently considering the acquisition of an office building that we refer to simply as building B. Building B is very similar to building A, which recently sold for $36,960,000. BuildingOne has gathered general information about the two buildings, including valuation information for building A:

Answers

Answer:

the question is incomplete:

Buildings A and B are similar in size (80,000 and 90,000 square feet, respectively). However, the two buildings differ both in maintenance costs ($23 and $30 per square foot) and rental rates ($100 versus $120 per square foot). At this point, we do not know why these differences exist. Nonetheless, the differences are real and should somehow be accounted for in the analysis of the value of building B using data based on the sale of building A. Building A sold for $462 per square foot, or $36,960,000. This reflects a sales multiple of six times the building’s net operating income (NOI) of $6,160,000 per year and a capitalization rate of 16.67%.

NOI of building A = ($100 x 80,000 ft²) - ($23 x 80,000 ft²) = $6,160,000

NOI of building B = ($120 x 90,000 ft²) - ($30 x 90,000 ft²) = $8,100,000

building B's market value = NOI / capitalization rate = $8,100,000 / 0.1667 = $48,600,000

property value = $48,600,000 / 90,000 ft² = $540 per ft²

who want to do 1v1 lol with me

Answers

On what lol ? I’m curious but yeah sure

Answer:

nnm,v xcmnm,bkljmbihutjhuF

Explanation:

why does this app suck i a way? i looked at this question: The managers want to know how many boxes of 12 cookies can be filled with the 3,258 cookies that have been baked. Fatima starts by subtracting the largest number of boxes she can easily calculate. She knows that 100 boxes of 12 cookies can be put into one crate. How many crates can be filled from the total of 3,258 cookies?

then an expert verified its 3 so i put it in and it said incorrect. am i not getting something or is it maybe incorrect in my platform?

Answers

Answer:

this app is fine, it has helped me a lot

Explanation:

BUT, you shouldnt rely on it all the time, unless you're genuinely struggling on grasping a topic I suggest trying to teach to yourself.

HELP ME ASAP!!!
Select the correct answer.
What does the term sustainability refer to in construction?
A.
a building that does not depend on traditional energy sources to power its internal systems
B.
a building that uses only non-renewable energy sources
a building that is environmentally responsible and resource-efficient throughout its life cycle
C.
D.
a building that can withstand the pressure of external forces such as strong winds

Answers

Answer:

a building that is environmentally responsible and resource-efficient throughout its life cycle

The following note transactions occurred during the year for Towell Company: Nov. 25 Towell issued a 90-day, 10% note payable for $80,000 to Hyatt Company for merchandise. Dec. 7 Towell signed a 120-day, 9% note at the bank for $120,000. Dec. 22 Towell gave Barr, Inc., a 60-day, 9%, $120,000 note for payment of account. Prepare the general journal entries necessary to adjust the interest accounts at December 31. Use 360 days for calculations and round to the nearest dollar.

Answers

Answer:

Towell Company

Journal Entries:

Debit Interest Expense $1,790

Credit Interest Payable $1,790

To record the interest expense for the year.

Explanation:

a) Data and Calculations:

i) Nov. 25: Issue of 90-day, 10% Note Payable = $80,000

Interest on the note for the year = $80,000 * 10% * 36/360 = $800

ii) Dec. 7: Issue of 120-day, 9% Note Payable = $120,000

Interest on the note for the year = $120,000 * 9% * 24/360 = $720

iii) Dec. 22: Issue of 60-day, 9% Note Payable = $120,000

Interest on the note for the year = $120,000 * 9% * 9/360 = $270

Total interest payable for the year = $1,790

Aikman, Inc., manufactures and sells two products: Product O6 and Product O7.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below:
The direct labor rate is $17.50 per DLH.The direct materials cost per unit for each product is given below:
The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:
The unit product cost of Product O6 is closest to:
A) $637.15 per unit
B) $896.71 per unit
C) $721.00 per unit
D) $661.45 per unit

Answers

Question Completion:

Aikman, Inc., manufactures and sells two products: Product O6 and Product O7.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs)required to produce that output appear below:

                              Expected      DLH         Total DLH

                              Production

Product 06               200            9.00           1,800

Product 07               800           10.00          8,000

Total                      1,000                               9,800

The direct labor rate is $17.50 per DLH.The direct materials cost per unit for each product is given below:

                              Direct Materials

                              Costs / unit

Product 06              $206.50

Product 07              $162.30

The company has an activity-based costing system with the following activity cost pools, activity measures, and expected activity:

Activity               Activity        Estimated   Product 06  Product 07     Total

Pool                   Measure      Overhead

Labor-related     DLHs         $133,770         1,800          8,000          9,800

Product orders   Orders          18,501            400             300             700

Order size          MHs             145,180        3,000           3,100          6,100

Total                                     $297,451

Answer:

Aikman, Inc.

The unit product cost of Product O6 is closest to:

B) $896.71 per unit

Explanation:

a) Data and Calculations:

                                       Product 06     Product 07

Direct Materials costs     $206.50          $162.30

Direct labor costs             $157.50          $175.00

Overhead cost per unit   $532.71          $238.64

Total cost per unit           $896.71          $575.94

                                     Product 06     Product 07

Direct labor costs              1,800              8,000

Direct labor rate               $17.50            $17.50

Total labor costs           $31,500             $140,000

Units of products             200                 800

Labor cost per unit       $157.50            $175.00

Overhead cost Allocation   Product 06   Product 07    Total

Labor-related  ($13.65)        $24,570       $109,200    $133,770

Product orders ($26.43)         10,572             7,929        18,501

Order size ($23.80)                71,400            73,780      145,180

Total                                   $106,542        $190,909  $297,451

Production units                     200                 800

Overhead cost per unit      $532.71          $238.64

why does crime exist?​

Answers

Answer:

well for me I think

Explanation:

The world is polluted

Crime is exist because as humans we naturally greedy and want more than what we have and we all believe we are batter than someone.

The following information was available from the inventory records of Sheffield Corp. for January: Units Unit Cost Total Cost Balance at January 1 9200 $9.73 $89516 Purchases: January 6 6400 10.31 65984 January 26 7900 10.71 84609 Sales January 7 (7700 ) January 31 (11300 ) Balance at January 31 4500 Assuming that Sheffield does not maintain perpetual inventory records, what should be the inventory at January 31, using the weighted-average inventory method, rounded to the nearest dollar

Answers

Answer:

$45,990

Explanation:

The Weighted Average Cost Method, calculates a new Unit Cost with every purchase that is made. This is applicable to perpetual Inventory method. In this case we are required to use the periodic Inventory method (Sheffield does not maintain perpetual inventory records). Thus our Unit Cost is calculated from Inventory available for Sale.

Step 1

Units Available For Sales Calculation :

Opening Balance                           9,200

Add Purchases (6,400 + 7,900)   14,300

Units Available for Sale               23,500

Less Units Sold (7700 + 11300)  (19,000)

Ending Inventory Units                  4,500

Step 2

Unit Cost = Total Cost ÷ Units Available for Sale

                = ($89,516  + $65,984 + $84,609) ÷ 23,500

                = $10.22

Step 3

Ending Inventory = Units in Stock × Unit Cost

                             = 4,500 × $10.22

                             = $45,990

Analysts look for red flags in financial statements that may signal financial trouble. Which of the following is a red flag that suggests that a company may be in​ trouble? A. a consistent movement in​ sales, merchandise​ inventory, and accounts receivable B. operating activities are a major source of cash flows C. a significant decrease in net income for several years in a row D. a reduction in the debt ratio

Answers

Answer:

C. a significant decrease in net income for several years in a row

Explanation:

A  significant decrease in net income for several years in a row show that the firm is generating less revenue or its expenses are generally increasing at a rate greater than the sales. This may soon lead into a loss. A loss making firm will eventually have challenges in cashflow. So, this signals financial trouble.

A company has $110,000 in outstanding accounts receivable and it uses the allowance method to account for uncollectible accounts. Experience suggests that 4% of outstanding receivables are uncollectible. The current balance (before adjustments) in the allowance for doubtful accounts is a(n) $1,000 credit. The journal entry to record the adjustment to the allowance account includes a debit to Bad Debts Expense for:

Answers

Answer:

Provision on accounts receivable = $110,000 * 4%  = $4,400

Total allowance for doubtful accounts = $4,400 - $1,000 = $3,400

Date   Account Titles and Explanation      Debit    Credit

           Bad debt expense                           $3,400

                  Allowance for doubtful accounts            $3,400

           (To record the bad debt expense)

You want to be a millionaire when you retire in 40 years. a. How much do you have to save each month if you can earn an annual return of 9.7 percent

Answers

Answer:

the amount that saved each month is $173.21

Explanation:

The computation of the amount that saved each month is as follows:

Here we use the PMT formula

Given that

NPER = 40 × 12 =  480

PMT = 9.7% ÷ 12 = 0.81%

PV = $0

FV = $1,000,000

The formula is shown below:

= PMT(RATE;NPER;PV;-FV;TYPE)

The future value comes in negative

After applying the above formula, the pmt is $173.21

Hence, the amount that saved each month is $173.21

garcia company has 11,600 units of its product that were produced last year at a total cost of $174,000. the units were damaged in a rainstorm because the warehouse where they were stored developed a leak in the roof. garcia can sell the units as is for $2 each or it can repair the units at a total cost of $19,600 and then sell them for $5 each. calculate the incremental net income if the units are repaired

Answers

Answer:

If the company repairs the units, income will increase by $15,200.

Explanation:

Giving the following information:

Units= 11,600

Garcia can sell the units as is for $2 each or, it can repair the units at a total cost of $19,600 and then sell them for $5 each.

We will not take into account the original cost of production because they remain constant in both options.

Sell as-is:

Effect on income= 11,600*2= $23,200

Repair:

Effect on income= 11,600*5 - 19,600= $38,400

If the company repairs the units, income will increase by $15,200.

Which case below best represents a case of price​ discrimination? A. A professional baseball team pays two players with different batting averages different salaries. B. A major airline sells tickets to senior citizens at lower prices than to other passengers. C. An insurance company offers discounts to safe drivers. D. A utility company charges less for electricity used during​ "off-peak" hours, when it does not have to operate its​ less-efficient generating plants.

Answers

Answer:

B. A major airline sells tickets to senior citizens at lower prices than to other passengers.

Explanation:

The pricing strategy refers to a strategy where the company charges the different prices for the similar products to the customers

In the case of the pure price discrimination, the seller would charge the price i.e. maximum he or she would have to pay also it is depend upon the specific characteristics and the amount charged to each and every group through a different price

Therefore the option B is correct

Bantam company calculated its net income to be $77,600 based on the unadjusted trial balance. The following adjusting entries were then made for: Salaries and wages owed but not yet paid of $795. Interest earned but not received from investments of $755. Prepaid insurance premiums amounting to $555 have expired. Deferred revenue in the amount of $755 has now been earned. Required: Determine the amount of net income (loss) that will be reported after the adjustments are recorded.

Answers

Answer:

$77,760

Explanation:

After adjustment items of expenses will be deducted from the Net income, and items of income will be added to the net income.

Item of expenses = unpaid salary + Prepaid insurance (Expired)

Item of income = Interest earned + revenue

Net income after deduction = 77,600 - 795 - 555 + 755 + 755

Net income after deduction = $77,760

Pacifica Industrial Products Corporation makes two products, Product H and Product L. Product H is expected to sell 40,000 units next year and Product L is expected to sell 8,000 units. A unit of either product requires 0.4 direct labor-hours.
The company's total manufacturing overhead for the year is expected to be $1,632,000.
Required:
1-a. The company currently applies manufacturing overhead to products using direct labor-hours as the allocation base. If this method is followed, how much overhead cost per unit would be applied to each product? Product H Product L Overhead cost per unit
1-b. Compute the total amount of overhead cost that would be applied to each product Product H Product L Total Total overhead cost
2. Management is considering an activity-based costing system and would like to know what impact this change might have on product costs. For purposes of discussion, it has been suggested that all of the manufacturing overhead be treated as a product-level cost. The total manufacturing overhead would be divided in half between the two products, with $816,000 assigned to Product H and $816,000 assigned to Product L If this suggestion is followed, how much overhead cost per unit would be assigned to each product? (Round your answers to 2 decimal places.)
Product H Product L
Overhead cost per unit

Answers

Answer:

1a. Product H $16,000

Product L $3,200

1b. Product H $1,360,000

Product L $272,000

Total $1,632,000

2. Product H $20.40

Product L $102.00

Explanation:

1-a. Calculation for how much overhead cost per unit would be applied to each product

Product H Product L

Number of units produced 40,000 8,000( a)

Direct labor-hours per unit (b) 0.40 0.40 (b)

(a) × (b)=Total direct labor-hours 16,000 3,200 Total =$19,200

Therefore Amount of hoverhead cost per unit applied to each product is :

Product H $16,000

Product L $3,200

1-b. Computation for the total amount of overhead cost that would be applied to each product

Product H Product L Total

Manufacturing overhead applied per unit

0.40 DLH per unit × $85.00 per DLH= $34.00 (a)

Number of units produced 40,000 8,000 (b)

(a) × (b)=Total manufacturing overhead applied $1,360,000 $272,000

Total=Product H $1,360,000+Product L $272,000

Total= $1,632,000

Predetermined overhead rate of $ 85.00 per DLH is calculated as:

Total manufacturing overhead $ 1,632,000(a)

Total direct labor-hours 19,200 DLHs(b)

(a) ÷ (b) =Predetermined overhead rate $ 85.00 per DLH

Therefore the total amount of overhead cost that would be applied to each product is :

Product H $1,360,000

Product L $272,000

Total $1,632,000

C. Calculation for how much overhead cost per unit would be assigned to each product

Product H Product L Total

Total manufacturing overhead assigned (a)

$816,000 $816,000 =$1,632,000

Number of units produced (b) 40,000 8,000

(a) ÷ (b) =Manufacturing overhead per unit $20.40 $102.00

Therefore the amount of overhead cost per unit would be assigned to each product is :

Product H $20.40

Product L -$102.00

Three years ago, Adrian purchased 430 shares of stock in X Corp. for $70,950. On December 30 of year 4, Adrian sells the 430 shares for $64,070. (Leave no answers blank. Enter zero if applicable. Loss amounts should be indicated with a minus sign.)

a. Assuming Adrian has no other capital gains or losses, how much of the loss is Adrian able to deduct on her year 4 tax return?

Answers

Answer:

6,880

Explanation:

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write a formal report about 2 boys breaking a window Mia buys 50 coats at $28 each she sells 38 of these coats at$49 each she sells the rest of the coats at$40 each find the overall percentage profit mia has made on these coats Those two please I really need help 1. Which statement best describes the author's point of view in "WilliamShakespeare's Relevance in Today's Society Is Changing?" A USB stick can store 1.1x10 power of 3 megabytes of data.A hard drive can store 4x10 power of 4 megabytes of data.How much more can the hard drive store?Give your answer in standard form Even if you dont think it is an independent variable, _____ is usually always plotted on the x axis.Help? There are 16 circles and 12 squares. What is the simplest ratio of squares to circle Neo Malthusians believe that in addition to outstripping food supply, world population growth is also overtaxing other resources like fuel and energy in addition to outstripping food supply, world population growth is also overtaxing other resources like fuel and energy governments should discourage population growth because industrial growth is slowing in MDCs governments should discourage population growth because industrial growth is slowing in MDCs population growth in LDCs will end as the population in those countries become more educated population growth in A. LDCs will end as the population in those countries become more educated B. MDCs will experience a population crash due to their aging populations C. MDCs will experience a population crash due to their aging populations When 26400j of energy is supplied to a 2.0kg bloom of aluminum it temperature rise from 20oc to 35oc.The block is well so there is no energy lost to sorround determine the specific heat capacity of aluminum Is this sentence Michael Piscal, Headmaster of View Park Prep Charter School in Los Angeles said, "It's not working for teachers, it's not working for studentsit's not working for society." a main idea or claim ? What is the fraction that is halfway between 1/3 and 3/2 Do Anybody know this ? does New France or the 13 English Colonies have more religious freedom? What is the solution to the equation x + 14 = 63? (Input a whole number only.) (3 points) I just need to know who read the war that saved my life Naomi has earned $135 mowing lawns the past two days. She worked 5 1/2 hours yesterday and 5 3/4 hourstoday. If Naomi is paid the same amount for every hour she works, how much does she earn per hour tomow lawns? Select the correct answer.Kevin has two test tubes filled with a clear liquid. One of them is water, and the other is vinegar. He adds a little baking powder to each liquid toidentify the test tube that contains vinegar. Select the correct observation and conclusion.OA The liquid in which baking powder dissolves is vinegar.OB. The liquid in which baking powder settles down is vinegar.OC. The liquid in which bubbles are formed is vinegar.OD. The liquid that does not change color is vinegar.O E. The test tube that becomes cold contains vinegar. Which of these statements describe you? Check all that apply.I have participated in an online discussion forum.I am comfortable speaking before large groups.I have led small or large group discussions in the classroom.I prefer working in groups rather than working on my own.I am able to share my thoughts on a topic with ease when participating in group discussions.I have been part of an online meeting that required me to use web-conferencing software. Subtract-b + 3 from 116 4 Someone can you help me?A group of people gathers in a busy city area to hold a protest. The police force them to leave because they are blocking traffic. The leader of the group says the police have no right to stop them, that they have the right to assembly. The police ask the leader to see the group's permit from the city, but the group doesn't have one.Based on the scenario, which statement is true?a. The group has a right to form a protest, but the city has the right to prevent any assembly if the leaders do not like its goals.b. The group has the right to assembly, but the city has the right to enforce rules to protect public safety during an assembly.c. The group has an unlimited right to assembly, and the police should leave the group alone or protect it from traffic.d. The group has no right to organize a protest, and the police should arrest all the members for refusing to leave.