Answer:
$27,965.4393
Explanation:
Given:
Cash flow for first year (C1) = $6,200
Cash flow for second year (C2) = 116,200
Cash flow for third year (C3) = $17,400
Rate of return = 10% = 10/100 = 0.1
Computation of total price :
Total Price = 
Therefore, Marko Inc. will pay $27,965.4393
Answer:
=$854,000
Explanation:
The cost of goods sold is the expense incurred by a manufacturing firm when making goods to be sold to customers. It is calculated using the formula.
Cost of goods sold = Beginning Stock plus purchases/ cost of goods manufactured minus ending stock
Marigold Corp:
Beginning stock: $162,000
Ending stock: $174,000
cost of goods manufactured, $866000;
cost of goods sold =
$162,000 + 866,000 -$174,000
=$854,000
Answer:
A one-time error in the application of the lower of cost or market/net realizable value (LCM/NRV) rule in the current period distorts financial results for the current accounting period:
a. only.
Explanation:
The lower of cost or market (LCM/NRV) method states that when valuing a company's inventory use the historical cost or the market value, whichever is lower. The historical cost refers to the cost at which the inventory was purchased. The market value is the current price. The implication is that while the historical cost remains static, the market value shifts over time.
Therefore, if there is a one-time error made in the use of the LCM/NRV rule, it only affects the current period. The next accounting period will restart the process of comparing the historical costs with the market value, thus obviating the need to repeat the error.
Answer:
$83000
Explanation:
Given: Stadium is fined for $186000
Other parking expense is $163000
Revenue generated by stadium in parking= $432000.
Now, calculating profit:
Profit= 
Profit= 
∴ Profit= $83000
∴ Total profit made for parking that day is $83000.
Answer:
Inelastic
Explanation:
Elasticity of demand = percentage change in quantity demanded / percentage change in price
percentage change in quantity demanded =
35,000 - 40,000/40,000 = -0.125 = -12.5%
percentage change in price = $10 - $8 / $8 = 0.25 = 25%
Elasticity = -12.5%/25%= -0.5
Demand is inelastic because the elasticity of demand is a less than 1.
Elasticity of demand measures how quantity demanded changes when price change.
Demand is inelastic when a change in price has no effect on quantity demanded. Inelastic demand has a value of less than 1 .
Demand is elastic if a change in price has an effect on quantity demanded. Elastic demand has a value of more 1
Unitary elastic is when a change in price has the same proportional effect on a change in quantity demanded. Unitary elastic demand has a value of 1.
