Answer:
It should be accepted as the cash flow is greater than minimum
Explanation:
We should determinate if he project can generate a cashflow of 151,406 after taxes to be accepted:
market x market share = sales in units
140,000 units x 8.5% = 11,900 units
sales x contribution less fixed cost = income before taxes
11,900 x 56.11 - 387,200= 280,509
after tax 280,509 x (1 - 21%) = 221,602.11
project cash flow > minimum cash flow
221,602.11 > 151,406
It should be accepted as the cash flow is greater than minimum
Answer:
The worth of loan subsidy at 5% is $1000000 and at 10% is $500000.
Explanation:
The subsidized perpetual loan offer by government = $1000000
Interest rate = 5%
The amount paid for forever = $50000
Below is the calculation to find the worth of loan subsidy for forever.
Amount paid to the government for forever at 5% interest.
Total subsidy loan worth at 5% = $50000 /5% = $1000000
The subsidy loan worth at 10% = $50000 /10% = $500000
The worth of loan subsidy at 5% is $1000000 and at 10% is $500000.
Answer:
1. B. The actual proportion of Greeks who believe they are suffering.
2. This is the proportion of Greeks in the sample considered, i.e p = 0.25
3. n = 250 phat - 25% — 0.25 z score - 5%/2 — 2.5 on each end — z = 1.9 se - use formula - .0470.25 +/- 1.9 x .027+: .3675 -: .1325.
4. A. wider
5. B. narrower
Explanation:
In this question, it is essential to estimate the actual population of Greeks that believe they are extremely poor and also suffering. This will be used for proper sampling. Furthermore, in the sample considered, it was discovered that the parameter point estimate is approximately 25% and a change in the sample size or confidence level will alter the interval.
Answer: $4,000
Explanation: Economic profit can be defined as the difference between the total revenues generated from operations and cost incurred plus any opportunity cost taken.
Opportunity cost is the cost of next best alternative foregone, that is loss of profits that occurred due to choosing one alternative over other. In the given case loss of interest and loss of highest salary are opportunity cost for Jacqui .
Hence,
economic profit = revenues - (interest + salary)
= $50,000 - ($1000 + $45,000)
= $4,000
Answer:
$34,243.28
Explanation:
Simple interest = P x r x t
where:
P = Principal
r = rate
T = time
Therefore simple interest = 20,000 x 6% x 4 = $4,800
Compound Interest = ((P*(1+r)^n) - P),
where P is the principal,
r is the annual interest rate = 7%, and
n is the number of periods = 4 years x 4 quarters a year.
Therefore compound interest = ((20000 (1+0.07)^16)-20000) = $39,043.28
Difference in interest = $39,043.28 - $4,800 = $34,243.28
