Answer:
The ending inventory balance is $158,400
Explanation:
The computation of the amount that Plunkett should report in ending inventory is shown below:
= Ending balance - goods purchased under FOB destination - goods held on consignment
= $219,000 - $44,800 - $15,800
= $158,400
hence, the ending inventory balance is $158,400
we simply applied the above formula so that the correct value could come
Answer:
the $500,000 that the old production line costed must be treated as a sunk cost. Sunk costs are costs that have already been incurred and the firm cannot recover them no matter what they do. in this case, since ankle-length skirts are out of fashion, the production is useless and is worth $0.
Explanation:
Answer:
$44.87
Explanation:
Use Dividend Discount Model to solve this question;
First, find the dividend per year;
First year's dividend ; D1 = D0(1+g)
D1 = 1.32 (1.30) = 1.716
Second year's dividend ; D2 = 1.716 (1.10) = 1.8876
Third year's dividend ; D3 = 1.8876 (1.05) = 1.9820
Next, find the present value of each dividend at 9% required return;
PV (D1) = 1.716 / (1.09) = <em>1.5743</em>
PV (D2) = 1.8876 /(1.09²) = <em>1.5888</em>
PV (D3 onwards) = 
= PV (D3 onwards) = <em>41.7052</em>
Sum up the PVs to find the current market value of the stock;
= 1.5743 + 1.5888 + 41.7052
= 44.8683
Therefore the value is $44.87
Answer:
1. Owners of diminutive businesses located nearby.
As Wal-Mart offers comparatively low prices for the products, more and more customers will be magnetized to it and hence the minuscule businesses can lose their customers. But the overall business of the local area will increment as more people will come to buy in the Wal-Mart, after shopping in the Wal-Mart, they can stop for victualing street-aliment or do some street shopping or take some accommodations from street like shoe-polishing and all. Due to the Wal-Mart in the area, there will be demand for genuine estate as people will ask for the house near Wal-Mart.
2. Town denizens and denizens of nearby towns.
Town denizens will be ecstatic as they can find most of the things they optate under one roof. Due to this, they can preserve their time and mazuma. But there can be negative effects on environment, as so many trees are being cut to build a building and parking space. There can be incremented noise and air pollution due to the customers’ conveyances. Town denizens fear that there can be a sexual discrimination while giving employment and salaries.
Explanation:
Hope this helps
