He would have saved 898.75 if he would have payed the 50
Answer:
Direct labor
Explanation:
The role of direct labor is to convert direct material into the finished products. Without the help of direct labor, it is impossible to convert the direct material into the finished goods.
Here, the direct material means the labor which works on manufacturing a product which is directly related to the production level. The allocation of direct labor is done based on the number of hours worked or product.
Hence, The efforts of employees who work directly to convert direct materials into the finished product are referred to as direct labor
Answer:
D) prime rate plus 4 percent
Explanation:
<em>Zebra Productions</em> will now be qualified as a sub-prime customer as it has been slow making payments to its bank. This has made its credit rating and quality lower. The lower credit rated customers are charged <em>sub-prime lending </em>rates which is charging interest rates higher than the prime lending rate ( lower interest rate for good credit rating customers). This is due to the fact that the bank is taking <em>higher risk</em> on the borrower's account and thereby should get <em>higher return</em> for taking higher risk.
Thus, <em>option no. D) prime rate plus 4 percent </em>would be charged to Zebra Productions.
She will save about $267.27 ($2160.24 - $1892.97) in interest over the course of a year if she transfers her balance to a credit card with an apr of 10.8%, compounded monthly. This problem can be solved using the compounding interest formula which stated as A = P*(1+i)^n. A is the amount affected by the compounding interest, i is the interest rate, and n is the period of time. You must find the amount using the 24.2% and 10.8% compounding interest and find the difference between them.
Answer:
$93,940.85
Explanation:
Adjusted present value is the sum of net present value of after tax cash flow and net present value of tax shield.
First compute after tax cash flow:
Cash inflow = $478,000
Cash cost = 68% of $478,000 = $325,040
Pre-tax profit = 478,000 - 325,040 = $152,960
Tax = 34 %
After tax cash flow = 152,960 (1 - 0.34) = $100,953.60
Net present value of after tax cash flow = 
= 
= $25,940.85
Present value of tax shield = Amount of debt × tax rate
= 200,000 × 0.34
= $68,000
Adjusted present value = 28,940.85 + 68,000
= $93,940.85