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stepladder [879]
1 year ago
13

ABC and XYZ are all-equity firms. ABC has 1,750 shares outstanding at a market price of $20 a share. XYZ has 2,500 shares outsta

nding at a price of $28 a share. XYZ is acquiring ABC for $36,000 in cash. The incremental value of the acquisition is $3,000. What is the net present value of acquiring ABC to XYZ?
Business
1 answer:
alexandr402 [8]1 year ago
4 0

Answer:

$2,000

Explanation:

The computation of the net present value is shown below:

= Number of outstanding shares × market price per share + incremental value of the acquisition - acquired value in cash

= 1,750 shares × $20 + $3,000 - $36,000

= $35,000 + $3,000 - $36,000

= $2,000

All other information which is given is not relevant. Hence, ignored it

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Consider this information about an activity: es = 12, ef = 18, ls = 14, lf = 20. what is the amount of slack associated with thi
Julli [10]
<span>The slack can easily be explained as the difference between latest start (ls) and earliest start (es) of an activity. As the above example, we can easily now calculate slack as the follow: slack = LS - ES or LF - EF So, the correct answer will be LS - ES = 14 -12 = 2 or LF - EF = 20-18 = 2 So, the slack associated with this activity is 2.</span>
3 0
2 years ago
Read 2 more answers
Jack Simpson, contract negotiator for Nebula Airframe Company, is currently involved in bidding on a follow-up government contra
Schach [20]

Answer:

3,825.2 labor hours

Explanation:

Learning rate (Unit 1 and unit 2):

= Labor hour required for 2nd unit ÷ Labor hour required for 1st unit

= 1,200 ÷ 2,000

= 0.60

Learning rate (Unit 2 and unit 3):

= Labor hour required for 3rd unit ÷ Labor hour required for 2nd unit

= 1,130 ÷ 1,200

= 0.94

Average of learning rates = (0.60 + 0.94 ) ÷ 2

                                           = 0.77

As per learning curve calculator the value of 77% for 6 units = 4.0776

Cumulative time = Factor × Time of first unit

                           = 4.0776 × 2,000

                           = 8,155.2

Hence,

Time for next three units:

= Cumulative time - Sum of the time of first, second and third unit

= 8,155.2 - (2,000 + 1,200 + 1,130)

= 3,825.2 labor hours should Simpson plan for.

4 0
1 year ago
A company receives $6,500 for two season tickets sold on September 1. If $2,500 is earned by December 31, the adjusting entry ma
nika2105 [10]

Answer:

The answer is false.

Explanation:

The $6,500 received for two seasons ticket is unearned revenue at September 1.

Unearned revenue have been received in advance but the customer has not enjoyed the service.

As the company enjoys this service monthly till the subscription finishes, revenue will be recognized and unearned revenue which is a liability in the balance sheet will reduce by the same value.

Two seasons ticket is 2 years(24 months).So what will be recognized monthly will be $270.83 ($6,500/24months)

September 1 through December 31 is 4 months.

So the adjusting entry at December 31 is 4 x $270.83

=$1,083.32

5 0
2 years ago
Plata Company produces two products: a mostly handcrafted soft leather briefcase sold under the label Maletin Elegant and a leat
Nat2105 [25]

Answer:

Explanation:

1. Yes, these costs are accurately traced to each briefcase. Because these are variable cost and incurred upon per unit as per the product requirement and specification.

Check attachment for 2, 3 and 4.

For 3b. please provide the statements which are to checked.

8 0
1 year ago
Read 2 more answers
Isa is head of housekeeping services at the Ashworth Hotel, a luxury hotel and resort. Last week, she received 29 customer compl
Lena [83]

Answer:

c. 67,757 errors per million opportunities

Explanation:

The computation of the errors per million opportunities is shown below:

= Customer complaints last week ÷ total guest stayed in that week × 1,000,000

= 29 customers ÷ 428 guests × 1,000,000

= 67,757 errors per million opportunities

Hence, the correct option is c.

We simply applied the above formula so that the correct value could come

And, the same is to be considered

3 0
1 year ago
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