Answer:
net operating income earned by product N28X is $ 69,000.
Explanation:
Only the avoidable costs will be accounted for in determining net income earned by N28X for its decision.
Sales $ 660,000
Less Variable expense ($ 285,000 )
Contribution $ 375,000
Fixed manufacturing expenses ($195,500 )
Fixed selling and administrative expense ($110,500)
Net Income / (loss) $ 69,000
Therefore, net operating income earned by product N28X is $ 69,000.
An expansionary fiscal policy will Question 4 options: always result in a budget deficit. always result in a budget surplus. sometimes result in a budget deficit. never result in a budget surplus. More information is necessary to answer this question.
Answer:
always result in a budget deficit.
Explanation:
Expansionary fiscal policy are policies undertaken by the government to increase the supply of money in the economy.
Tools of Expansionary fiscal policy are :
tax cuts
increased government spending
transfer payments.
A budget deficit occurs when government spending exceeds income.
If taxes are cut, revenue of the government would fall and this can lead to a budget deficit.
Also if the government increases its spending, spending can exceed income and this would lead to a deficit.
I hope my answer helps you
Franchising is widely used in the casual dining and fast food industry, yet Starbucks is quite successful with a large number of company-owned stores. In 2014 Starbucks had over 7,000 company- owned stores in the United States. How do you explain this difference
Answer with its Explanation:
Their are following differences that enabled Starbucks to grow its business successfully with excellent customer feedback.
The franchising has enabled Starbucks to control the franchises to manage its business in far much better way than other methods of traditional growing businesses. The method helps in amendments of operations, processes and policies at very face pace and implementation is similar to the traditional company owned stores.
The second difference is that the product of Starbucks includes standardized and customer tailored products which makes it choice of every person. The differentiated strategy makes the business offerings a symbol of quality and taste and this standardization of services and products was very easy to implement at very lower cost than traditional company owned stores business.
Hank, a calendar-year taxpayer, uses the cash method of accounting for his sole proprietorship. In late December, he performed $20,000 of legal services for a client. Hank typically requires his clients to pay his bills immediately upon receipt. Assume his marginal tax rate is 30 percent this year and will be 33 percent next year, and that he can earn an after-tax rate of return of 12 percent on his investments.a. What is the after-tax income if Hank sends his client the bill in December?After- tax income ?b. What is the after-tax income if Hank sends his client the bill in January? (Do not round intermediate calculations. Round "PV Factor" to 3 decimal places. Round your answer to 2 decimal places.)after-tax income ?c. Should Hank send his client the bill in December or January?DecemberJanuaryd. What is the after-tax income if Hank expects his marginal tax rate to be 25 percent next year and sends his client the bill in January? (Round "PV Factor" to 3 decimal places. Round your answer to 2 decimal places.)
Answer: a. $14,000
b. $14,106
c. January
2. $15,535
Explanation:
a. If Hank sends the bill in December.
Tax rate is 30% this year.
Amount is $20,000
After Tax Income = 20,000 * (1 - tax)
= 20,000 ( 1 - 30%)
= $14,000
b. If Hank pays Next year
Tax rate is 33%
After tax return rate of 12%
Amount is 20,000
Tax = 20,000 * 33%
= $6,600.
Because this is next year, the present value of the tax needs to be computed for better comparison.
With an after tax return of 12%, the PV will be,
= 6,600 * PV factor ( 12%, 1 period)
= 6,600 * 0.893
= $5,894
The income therefore will be,
= $20,000 - 5,894
= $14,106
c. Hank should pay in January as he would make more income.
2. Tax rate is 25% next year and income is to be received next year.
Tax = 20,000 * 25%
= $5,000
PV of $5,000 = 5,000 * PV Factor (12%, 1 period)
= 5,000 * 0.893
= $4,465
After tax income = 20,000 - 4,465
= $15,535
Juggernaut Satellite Corporation earned $19.6 million for the fiscal year ending yesterday. The firm also paid out 30 percent of its earnings as dividends yesterday. The firm will continue to pay out 30 percent of its earnings as annual, end-of-year dividends. The remaining 70 percent of earnings is retained by the company for use in projects. The company has 2.8 million shares of common stock outstanding. The current stock price is $84. The historical return on equity (ROE) of 14 percent is expected to continue in the future.
What is the required rate of return on the stock?
Answer:
The required rate of return on the stock is 12.55%
Explanation:
According to the given data we have the following:
The Company is distributing 30% of its earnings as dividends
Therefore, company is retaining = 100-30 = 70% of its earnings
Growth = Retention ratio * ROE = 0.7*0.14 = 9.8%
Earning = 19.6 million
hence, Paid as dividends = 19.6*0.3 = $5.88 million
The Number of shares outstanding = 2.8 million
hence, Dividend per share = Total dividends / number of shares outstanding = 5.88/2.8 = $2.1
Current stock price = $84
Therefore, to calculate the required rate of return on the stock we would have to use the following formula:
Price of stock = Current dividend*(1+growth)/(r-growth), where r is required rate of return
84 = 2.1*(1.098)/(r-0.098)
40 = 1.098/(r-0.098)
r - 0.098 = 0.02745
r = 0.02745+0.098 = 0.12545
The required rate of return on the stock is 12.55%
Amherst Metal Works produces two types of metal lamps. Amherst manufactures 20,000 basic lamps and 5,000 designer lamps. Its simple costing system uses a single Indirect-cost pool and allocates costs to the two lamps on the basis of cirect manufacturing labor-hours. It provldes the following budgeted cost Information: Calculate the total budgeted costs of the basic and designer lamps using Amherst's simple costing system. Begin by Calculating the budgeted indirect cost rate for the single indirect cost pool. First select the formula, then enter the applicable amounts and calculate the rate Abbreviations used: MOH = Manufacturing Overhead Budgeted indirect manufacturing costs Budgeted manufacturing labor hours- Budgeted MOH rate per manutacturing labor-hour 234,000 13,000 S 18 Now calculate the total budgeted costs and per unit costs of the basic and designer lamps using Amherst's simple costing system. (Round all per unit amounts to two decimal places.] Basic lamps Total Per unit Direct materials Direct manufacturing labor Total direct costs Indirect costs allocated Total costs 180,000 $ 200,000 380,000 9.00 10.00 19.00
Answer:
Total Budgeted Costs = $ 450,000
Total Costs 515,000
Explanation:
Manufacturing Overhead Budgeted 234,000
Budgeted manufacturing labor hours 13,000
Budgeted MOH rate per manufacturing labor-hour = 234,000/13,000= $ 18
Basic lamps 20,000 units
Total Budgeted Costs = 18*20,000= 360,000
Unit Costs Total Costs
Direct materials 9.00 180,000
Direct manufacturing labor 10.00 200,000
Total Per unit 19.00 380,000
Total direct costs 180,000
Indirect costs allocated 200,000
Total costs $ 380,000
Designer lamps 5,000 units
Total Budgeted Costs = 18*5,000= 90,000
Unit Costs Total Costs
Direct materials 15.00 75,000
Direct manufacturing labor 12.00 60,000
Total Per unit 27.00 135,000
Total direct costs 75,000
Indirect costs allocated 60,000
Total costs $ 135,000
Basic Designer Total
Total Direct Materials 180,000 75000 255,000
Direct Labor 200,000 60,000 260,000
Total Budgeted Costs = 360,000+ 90,000= $ 450,000
Total Costs =255,000+ 260,000= $ 515,000
Budgeting is the act of estimating a company's future income and expenditures that goes out from paying expense over a set period of time.
Total Budgeted Costs = $ 450,000
Total Costs 515,000
SOLUTION:-
Manufacturing Overhead Budgeted 234,000
Budgeted manufacturing labor hours 13,000
Budgeted MOH rate per manufacturing labor-hour = 234,000/13,000= $ 18
Basic lamps 20,000 units
Total Budgeted Costs = 18*20,000= 360,000
Unit Costs Total Costs
Direct materials 9.00 180,000
Direct manufacturing labor 10.00 200,000
Total Per unit 19.00 380,000
Total direct costs 180,000
Indirect costs allocated 200,000
Total costs $380,000
Designer lamps 5,000 units
Total Budgeted Costs (18*5,000) 90,000
Unit Costs Total Costs
Direct materials 15.00 75,000
Direct manufacturing labor 12.00 60,000
Total Per unit 27.00 135,000
Total direct costs 75,000
Indirect costs allocated 60,000
Total costs $135,000
Basic Designer Total
Total Direct Materials 180,000 75000 255,000
Direct Labor 200,000 60,000 260,000
Total Budgeted Costs = 360,000+ 90,000= $ 450,000Total Costs =255,000+ 260,000= $ 515,000
To know more about Budgeting, refer to the link:
https://brainly.com/question/14777070
Suppose the market for pizzas is unregulated. That is, pizza prices are free to adjust based on the forces of supply and demand.
If a shortage exists in the pizza market, then the current price must be.............than the equilibrium price. For the market to reach equilibrium, you would expect................
Answer:
Lower
Buyers would offer higher prices
Explanation:
When a shortage occurs when Demand exceeds supply. Excess demand occurs when price is below equilibrium price and as a result suppliers reduce quantity supplied.
As a result of the shortage, buyers would offer higher prices. As a result of the higher prices, the quantity supplied would increase and equilibrium would be restored.
I hope my answer helps you
Which best describes the role the applicants can fill in the company? Applicants 1 and 3 are best suited to work in network systems, while Applicant 2 could work in programming, information support, or interactive media. Applicants 2 and 3 are best suited to work in network systems, while Applicant 1 could work in programming, information support, or interactive media. Applicant 1 is best suited to work in network systems, while Applicants 2 and 3 could work in programming, information support, or interactive media. Applicant 3 is best suited to work in network systems, while Applicants 2 and 3 could work in programming, information support, or interactive media.
Incomplete question, however I made interferences from an employer perspective.
Answer:
Applicant 1 is best suited to work in network systems, while Applicants 2 and 3 could work in programming, information support, or interactive media.
Explanation:
From a performance point of view the programming, information support and interactive media roles of the company would be better handled by more than one individual since this roles involve more responsibilities that could not be handled by one individual.
The network systems role can better be managed by Applicant 1 only as it is a task that could be handled by a single employee.
Answer:
C. Applicant 1 is best suited to work in network systems, while Applicants 2 and 3 could work in programming, information support, or interactive media.
Explanation:
Took The TestInitially, you produce 100 boxes of jelly beans per time period. Then a new customer calls and places an additional order for jelly beans, requiring you to increase your output to 101 boxes. She offers you $1.75 for the additional box. Should you produce it?
Answer:
You should produce as long as the marginal cost per additional box is lower than the marginal revenue obtained by the additional box.
In other words, if the marginal cost of producing the 101th box is lower than $1.75, then, you should continue to produce, because revenue will be higher than cost, and a profit will be made as a result.
Which of the following is not counted as a part of GDP?
A. the purchase of 100 shares of AT&T stock by your grandfather.
B. the purchase of a snow plough by the city of Minneapolis.
C. the unsold additions to inventory at an appliances store
D. the purchase of a loaf of bread by a consumer
Answer:
C, The unsold additions to inventory at an appliances store.
Explanation:
GDP = Gross DOMESTIC Product
Since the unsold additions are not sold, there's no money coming from it, thus it is not counted in GDP.
Bonus: If you order clothes from Thailand, that is called GNP. It counts as Thailand's GDP because the money is going into the country, and it counts as America's GNP as you are buying goods from another country.
Balance sheet and income statement data indicate the following: Bonds payable, 11% (due in 15 years) $1,023,237 Preferred 8% stock, $100 par (no change during the year) $200,000 Common stock, $50 par (no change during the year) $1,000,000 Income before income tax for year $383,882 Income tax for year $115,165 Common dividends paid $60,000 Preferred dividends paid $16,000 Based on the data presented above, what is the times interest earned ratio (round to two decimal places)
Answer:
The times interest earned (TIE) ratio = 4.41 times
Explanation:
The times interest earned (TIE) ratio is an accounting ratio that shows the extent to which the income income of an organization can be used to cover its future interest expenses. This can be calculated as follows:
TIE Ratio = Earning before interest and tax (EBIT) / Interest expenses
Since,
Bonds payable, 11% (due in 15 years) = $1,023,237
Interest expenses = 11% * $1,023,237 = $112,556.07
Income before income tax for year = $383,882
EBIT = Interest expenses + Income before income tax for year = $112,556.07 + $383,882 = $496,438.07
Therefore, we have:
The times interest earned (TIE) ratio = $496,438.07 / $112,556.07 = 4.41 times
This shows that the income is 4.41 times greater than its annual interest expense. That is, the income can cover the annual interest 4.41 times.
Exercise 13-12 Ivanhoe Company includes one coupon in each box of soap powder that it packs, and 10 coupons are redeemable for a premium (a kitchen utensil). In 2020, Ivanhoe Company purchased 9,000 premiums at 85 cents each and sold 109,000 boxes of soap powder at $3.10 per box; 48,000 coupons were presented for redemption in 2020. It is estimated that 60% of the coupons will eventually be presented for redemption. Prepare all the entries that would be made relative to sales of soap powder and to the premium plan in 2020. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation Debit Credit (To record the premium inventory) (To record the sales) (To record the expense associated with the sale) (To record the premium liability)
Answer: Please see below
Explanation:
1) Journal to record the purchase of 9000 premiums at 85 cents
Year Account Title and explanations Debit Credit
2020 n Inventory of premium $7,650
Cash $7,650
working
Purchase price= Number of units purchased x price per unit
9000 x 0.85= $7,650
2) Journal to record the sale of 109,000 boxes at $3.10
Year Account Title and explanations Debit Credit
2020 Cash $337,900
Sales Revenue $337,900
working
Sale price= Number of units sold x price sold per unit
109,000 boxes x $3.10= $337,900
3) Journal to record the premium expenses
Year Account Title and explanations Debit Credit
2020 Premium Expenses $4,080
Inventory on premium $4080
working
Premium expenses= coupons presented for redemption / number of coupons to redeem premium x price per premium
= 48,000/10 x 0.85 = $4,080
4) Journal to record the premium liability
year Account Title and explanations Debit Credit
2020 Premium Expenses $1,479
Premium liability $1,479
working
Estimated redemption on number of boxes sold = number of boxes sold x probability of redemption= 109,000 x 60 %= $65,400
premium liability of coupons = estimated redemption of premiums - number of coupons already redeemed
= 65,400- 48,000 = 17,400
Cost of premium liabilty = premium liability of coupons /number of coupons per premium x rate per premium
17,400/10 x 0.85 ==$1,479
A corporation has 41,770 shares of $35 par stock outstanding that has a current market value of $292 per share. If the corporation issues a 4-for-1 stock split, the market value of the stock will fall to approximately a.$1,168.00 b.$8.75 c.$73.00 d.$257.00
Answer:
c. $73.00 per share
Explanation:
The computation of market value of the stock will fall to approximately is shown below:-
The market value of the stock will fall to approximately = Market value per share ÷ 4-for-1 stock split
= $292 ÷ 4-for-1 stock split
= $73.00 per share
Therefore for computing the market value of the stock will fall to approximately we simply applied the above formula.
Xu owns two investments, A and B, that have a combined total value of $40,000. Investment A is expected to pay $28,000 in 3 years from today and has an expected return of 7.1 percent per year. Investment B is expected to pay $36,000 in T years from today and has an expected return of 5.5 percent per year. What is T, the number of years from today that investment B is expected to pay $36,000?
Answer:
The number of years is [tex]T =13 \ years[/tex]
Explanation:
From the question we are told that
The total value of the investment A and B is [tex]k =[/tex]$40, 000
The future value of A is [tex]F_A =[/tex]$28,000
The time period is t = 3
The expected return of A is [tex]e_A =[/tex] 7.1 % = 0.071
The future value of B is [tex]F_B =[/tex]$36,000
The time period for B is T
The expected return of B is [tex]e_B =[/tex]5.5 % = 0.055
The present value of investment A is mathematically represented as
[tex]A = \frac{F_A }{(1 + e_A) ^t}[/tex]
substituting values
[tex]A = \frac{ 28000 }{(1 + 0.071) ^3}[/tex]
[tex]A =[/tex]$ 22792.38
The present value of B is mathematically evaluated as
[tex]B = k - A[/tex]
substituting values
B = 40, 000 - 22792.38
B = $17,208
The future value of B is
[tex]F_B = B * (1 + e_B)^T[/tex]
substituting values
[tex]36,000 =17,208 * (1 + 0.055)^T[/tex]
[tex]2.0921 = (1.055)^T[/tex]
take log of both sides
[tex]log(2.0921) =log (1.055)^T[/tex]
[tex]0.32057 = T log (1.055)[/tex]
=> [tex]T = \frac{0.3206}{0.0232}[/tex]
[tex]T =13 \ years[/tex]
Categories the following into Market economy and Non-market economy.
1. Prices are set by government agencies.
2. The invisible hand guides resources to their highest valued uses
3. Buyers and sellers are motivated by government directives.
4. Prices are set by supply and demand
5. Buyers and sellers are motivated by a sense of communal well- being.
6. Buyers and sellers are motivated by self-interest.
Answer:
Market economy:
2. The invisible hand guides resources to their highest valued uses
4. Prices are sey by supply and demand
6. Buyers and sellers are motivated by self-interest
Non-market economy:
1. Prices are set by government agencies
3. Buyers and sellers are motivated by government directives
5. Buyers and sellers are motivated by a sense of communal well-being
Explanation:
On the one hand, the concept of market economy refers to a type of economy system that basically indicates that the market will find the equilibrium and work properly without the help of the government and therefore it establishes that the economy does not need from the figure of the government and that this last one must worry only about the other issues that do not include the economy.
On the other hand, a non-market economy like its name indicates, it refers to the type of system that do consider that the presence of the government is very important for the correct system of the economy and all of its factors regarding the market. Therefore that this type of system approves the planning of the economy from the government without discussions.
Under SEC rules, internal controls over financial reporting (ICFR) are processes that provide reasonable assurance that financial reports are reliable. Which of the following is not assured by ICFR? A. Financial reports, records, and data are accurately maintained. B. Transactions are prepared according to GAAP rules and are properly recorded. C. Unauthorized acquisition or use of data or assets that could affect financial statements will be prevented or detected in a timely manner. D. IT controls that contain financial data are maintained.
Answer:
C. Unauthorized acquisition or use of data or assets that could affect financial statements will be prevented or detected in a timely manner.
Explanation:
Internal Control Financial Reporting is a framework designed to help companies manage their financial reporting and achieve the greater goals of risk assessment, control, information and communication, as well as monitoring. One of the weaknesses that could characterize ICFR is its inability to assure timely prevention and detection of unauthorized acquisition or use of data.
The scheme however ensures that financial records are maintained and that transactions are prepared according to GAAP rules. ICFR ensures that misstatements are detected in financial reporting.
A company just starting in business purchased three merchandise inventory items at the following prices. First purchase $60; Second purchase $67; Third purchase $64. If the company sold two units for a total of $209 and used FIFO costing, the gross profit for the period would be
Answer:
$82
Explanation:
As company Uses FIFO system, it will sell first two products
The cost price =($60 + $67 = 127).
So Gross profit = Selling Price-Cost Price
Gross Profit = 209-127
= $82
The gross profit for the period is $82
g Romans sells the Regular blend for $3.60 per pound and the DeCaf blend for $4.40 per pound. Romans would like to place an order for the Brazilian and Colombian coffee beans that will enable the production of 1000 pounds of Romans Regular coffee and 500 pounds of Romans DeCaf coffee. The production cost is $0.80 per pound for the Regular blend. Because of the extra steps required to produce DeCaf, the production cost for the DeCaf blend is $1.05 per pound. Packaging costs for both products are $0.25 per pound. Formulate a linear programming model that can be used to determine the pounds of Brazilian Natural and Colombian Mild that will maximize the total contribution to profit.
Romans Food Market, located in Saratoga, New York, carries a variety of specialty foods from around the world. Two of the stores leading products use the Romans Food Market name: Romans Regular Coffee and Romans DeCaf Coffee. These coffees are blends of Brazilian Natural and Columbian mild coffee beans, which are purchased from a distributor from New York City. Because Romans purchases large quantities the coffee beans may be purchased om an as need basis for the price of 10% higher than the market price the distributor pays for the beans. The current market price is $0.47 per pound for Brazilian Natural and $0.62 per pound for Columbian Mild The composition of each coffee blend are as follows:
Bean Regular DeCaf Blend
Brazilian Natural 75% 40%
Columbian Mild 25% 60%
Romans sells the Regular blend for $3.60 per pound and the DeCaf blend for $4.40 per pound. Romans would like to place an order for the Brazilian and Colombian coffee beans that will enable the production of 1000 pounds of Romans Regular coffee and 500 pounds of Romans DeCaf coffee. The production cost is $0.80 per pound for the Regular blend. Because of the extra steps required to produce DeCaf, the production cost for the DeCaf blend is $1.05 per pound. Packaging costs for both products are $0.25 per pound. Formulate a linear programming model that can be used to determine the pounds of Brazilian Natural and Colombian Mild that will maximize the total contribution to profit.
Answer:
[tex]\mathbf{Max \ Z = 2.033 BR + 2.583 BD + 1.868 CR + 2.418 CD}[/tex]
Explanation:
From the given information:
The total revenue can be illustrated as :
Total revenue = 3.6 BR + 4.4 BD + 3.6 CR + 4.4 CD
On the other hand; the total cost of the beans is:
= 1.1 (0.47 BR + 0.47 BD + 0.62 CR + 0.62 CD)
= 0.517 BR + 0.517 BD + 0.682 CR + 0.682 CD
Also; The total production cost is :
= 0.8 BR + 1.05 BD + 0.8 CR + 1.05 CD
The total profit = Total revenue - Total Cost of Beans - Total Production Cost
The total profit = [tex]\left[\begin{array}{}3.6 BR + 4.4 BD + 3.6 CR + 4.4 CD\\- (0.517 BR + 0.517 BD + 0.682 CR + 0.682 CD)\\-(0.8 BR + 1.05 BD + 0.8 CR + 1.05 CD)\end{array}\right][/tex]
The total profit = 2.033 BR + 2.583 BD + 1.868 CR + 2.418 CD
Therefore the linear programming model represents the Objective function of the total profit as:
[tex]\mathbf{Max \ Z = 2.033 BR + 2.583 BD + 1.868 CR + 2.418 CD}[/tex]
A new American graduate is contemplating buying a
Japanese, German, or an American car. No matter the type of car, he
plans to buy a new one at the end of 8 years.
The Japanese cars will cost $30,000 and have a fuel
usage of 23 Miles Per gallon (mpg) for the first 2 years and will
decrease by 3% per year thereafter. The repair cost will start at $700
per year, and increase by 3% per year. At the end of year 8, the
car can be sold for $5000. Insurance cost will be $700 for the
first year, increasing by 2% per year thereafter.
A German car will cost $45,000 and have fuel usage
of 21mpg for the first 5 years, and decrease by 1% thereafter to
year 8. The repair cost will start at $1000 in year 1 and increase by
4% per year. It will have a salvage value of $7000 at the end of
year 8. Insurance cost will be $850 the first year, increasing by
2% per year thereafter.
The American car will cost $35,000 and have fuel
usage of 20mpg for the first 3 years and will decrease by 3% per
year thereafter. The repair cost will be $800 in year 1, increasing by
4% per year thereafter. Being an American, the graduate will price
the pride of owning an American car at $0.4 for every 20 miles
driven, increasing by 2% per year. Insurance costs will be $800 per
year increasing by 2.2% per year. The car can be sold for $5500 at
the end of year 8.
If the graduate anticipates driving 150000 miles by
the end of year 8 and the average interest rate is expected to
remain at 5% per year, which car is economically affordable based
on present worth analysis? Assume fuel cost will be $3 per gallon
in year 1 and increase by an average of 2% per year. Show all your
workings.
Answer:
The best option is to buy Japanese Car.
Explanation:
Fuel usage per year is 150000/ 8 = 18750 miles per year
Fuel cost (year 1 -8) = $3.0, $3.06, $3.12, $3.18, $3.25, $3.312, $3.38, $3.5
Japanese Car:
Fuel usage 18750 / 23 = 815 * $3 = $2446
Fuel charges (year 1 -8) = $2445, $2494, $2623, $2758. $2900, $3050, $3207, $3372
Repair Cost (year 1 - 8) = $700, $721, $742, $764, $787, $811, $835, $860
Insurance cost (Year 1 - 8) = $700, $714, $728, $742, $757, $772, $788, $804
Present value of cost at 5% = 24674.07
Cost of car is $30,000
Total cost = $54674.07
American Car:
Cost $35,000
Fuel usage 18750/20 = 937.5 * $3 per gallon = $2812.5.
Fuel charges (year 1 -8) = $2812, $2913, $2986, $3011. $3098, $3124, $3176, $3208
Repair Cost (year 1 - 8) = $800, $894, $921, $978, $1109, $1176, $1207, $1301
Insurance cost (Year 1 - 8) = $800, $827, $876, $898, $908, $932, $954, $934
Present value of cost at 5% = 25302.18
Cost of car is $35,000
Total cost = $60302.
German Car:
Cost = $45,000
Fuel usage 18750 / 21 = 892 * $3 = $2678
Fuel charges (year 1 -8) = $2679, $2732, $2786, $2842. $2899, $2987, $3077, $3171
Repair Cost (year 1 - 8) = $1000, $1040, $1081, $1124, $1169, $1216, $1265, $1316
Insurance cost (Year 1 - 8) = $850, $867, $884, $902, $920, $938, $957, $976
Present value of cost at 5% = 27105.73
Cost of car is $45,000
Total cost = $72105.
Who is following the law when it comes to protecting investors’ funds?
Answer:
A mutual fund advisor who informs investors about risks is following the law when it comes to protecting investors’ funds
Explanation:
Answer:B (a mutual fund advisor who informs investors about risks)
Explanation: