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Kipish [7]
2 years ago
7

The operating cost for a pulverized coal cyclone furnace is expected to be $80,000 per year. The steam produced will be needed f

or only 6 years beginning now (i.e., years 0 through 5). What is the equivalent annual worth in years 1 through 5 of the operating cost at an interest rate of 10% per year
Business
1 answer:
pishuonlain [190]2 years ago
5 0

Answer:

$101,104

Explanation:

Calculation for the equivalent annual worth

Using this formula

Equivalent annual worth=Operating cost(A/P,i,n)+ Operating cost

Let plug in the formula

Equivalent annual worth=80,000(A/P,10%,5) + 80,000

Using financial calculator (A/P,10%,5) will give us (0.26380)

Hence,

Equivalent annual worth=80,000(0.26380) + 80,000

Equivalent annual worth=$21,104+$80,000

Equivalent annual worth== $101,104

Therefore the Equivalent annual worth will be $101,104

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Connie stepped in to assist her friend Fred conduct his research plan for his business. He is trying to see where he should open
Illusion [34]

Connie's next step should be

Not - go back and revisit her plan objectives

Maybe - Conduct primary research and analyze Fred's current customers.

<h3><u>Explanation:</u></h3>

It is very essential for an entrepreneur who decides to start a new business to have a business plan that helps him in setting up the businesses in the right track and usage of funds in an effective manner. A business plan acts as a blue print of a new business and the objectives and resource utilization.

In the scenario give, Fred decides to start a new boutique and has conducted researches geographic locations and the type of boutiques supported by the demography. She must not then go back and review her plan objectives as she has decided to start it with a good plan and she may conduct a primary research about the  current customers of him.

5 0
2 years ago
Youngstown Construction plans to discontinue its roofing segment. Last year, this segment generated a contribution margin of $65
ipn [44]

Answer:

B. a decrease of $30,000

Explanation:

The computation of company’s overall profit is shown below:-

To continue = Contribution margin - Fixed cost

= $65,000 - $70,000

Loss = $5,000

To Discontinue =  Unavoidable fixed cost ÷ 2

= $70,000 ÷ 2

= $35,000

So, Net Loss = To continue (Loss) - To Discontinue

= $5,000 - $35,000

= $30,000

Therefore there is a decrease of $30,000

7 0
2 years ago
Based on what you learned so far, what options can you think of to deal with the stray animal problem in Townsville?
cestrela7 [59]

Answer:

As mentioned in the question, the answers are:

1. Build an animal shelter

2. Begin a trap, neuter, release program.

Explanation:

1. Build an animal shelter

This is a great solution to deal with the problem of stray animals because of several reasons:

a) With fewer animals roaming about in the streets, there will be fewer instances of animal feces lying on the street, which is both unpleasant and unhygienic.

b) Lowered risk of animals catching infectious diseases and spreading them

c) Fewer automobile accidents caused by vehicles hitting stray animals on roads

d) When kept in animal shelters, these animals, particularly domestic ones, can be adopted.

2. Begin a trap, neuter, release program.

This another effective solution to deal with the problem of stray animals, because when animals are neutered and released back on the streets, they will no longer be able to reproductive and give birth to offspring, which would only multiply the number of stray  animals, and issues associated with.

Out of the two solutions, the first one, while more time consuming and expensive is most optimal to deal with the problem of stray animals.

6 0
2 years ago
House of Haddock has 5,000 shares outstanding and the stock price is $140. The company is expected to pay a dividend of $20 per
Alenkinab [10]

Answer & Explanation:

(a) Gordon growth model:

Gordon growth model is a type of dividend discount model in which not only the dividends are factored in and discounted but also a growth rate for the dividends is factored in and the stock price is calculated based on that.

Formula:

P =  D1   / (r − g)

where:

P = Current stock price

g = Constant growth rate expected for

dividends, in perpetuity

r = expected return in the stock

D1  = Value of next year’s dividends

​  

As House of Haddock has 5,000 shares outstanding and the stock price is $140 and the company is expected to pay a dividend of $20 per share next year and thereafter the dividend is expected to grow indefinitely by 5% a year.​

Therefore by putting the values in the above formula, we get

140 = 20 / ( r - .05 )

r = .192857

As the stock price is $140

So total value of the company = 140 * 5,000

total value of the company = 700,000

If the dividend growth rate is cut to 2.5%

P = 20/(.192857-.025)

P (one share) = 119.14

So the total value of the company becomes 595,745.

(b)

The expected stream of dividends per share for an investor who plans to retain his shares rather than sell them back to the company can be found be multiplying the previous dividend per share with 1.025

Expected stream of dividends per share = 20 * 1.025

= 20.5

Expected stream of dividends per share = 20.5 * 1.025

= 21.01

Expected stream of dividends per share for an investor = 20, 20.50, 21.01, 21,54 and so on.

8 0
2 years ago
Suppose the Imperial Galactic Bank has received $1,000 of deposits and all banks face a required reserve ratio of 10 percent. Wh
Bumek [7]

Answer:

Money Multiplier= 1/ reserve ratio = 1/10% = 10

Change in Money Supply = Change in Reserves * Money Multiplier

= 1,000 * 10 = 10,000

So, option d is the correct option.

4 0
2 years ago
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