Answer:
$468,844 approx.
Explanation:
<u>Assumption</u>: <u>Since the question is incomplete, with the available information it has been construed that calculation of bond price is required and the question has been solved accordingl</u>y.
The price of a bond is the present value of future cash receipts it generates to the investor in the form of interest stream and principal stream.
wherein,
= price of bond as on today
i = annual coupon payments
ytm= investor's expectation of interest or market rate of interest on similar bonds
RV = Redemption value of such bonds assumed to be the face value
n = term to maturity
12.46221 × 22,500 + 0.376889 × 22,500 = 280,399.725 + 188444.5
$468,844 approx
This is the present value of the bond which is lower than it's face value because market rate of return of similar bonds is higher than the coupon rate of payment by Westside Corporation.
Here is the answer. Suppose that consumption depends on the interest rate, how this alters the conclusions is that at any given level of the interest rate, national saving falls by the change in government purchases. You should also consider <span>what happens when government purchases increase. Hope this helps.</span>
Answer:
$73,600
Explanation:
Cash flow from Operating Activity
Cash sales $26,000
Collections on accounts receivable $99,000
Payments to suppliers ($47,000)
Cash generated from operations $78,000
Income taxes paid ($4,400)
Net cash provided by operating activities $73,600
therefore,
the amount of net cash provided by operating activities indicated by these transactions is $73,600
A. The items that fall under the DIRECT MATERIAL category include the following:
1. Film cost for the X ray machine.
2. Electricity cost for the X ray department.
3. Maintenance and repair on the X ray machine.
4. X ray department supplies.
The items that fall under the DIRECT LABOUR category include the following:
1. Salaries of the X ray machine technician.
2. Salary of the X ray technicians' supervisor.
The items that fall under the SERVICE OVERHEAD category include the following:
1. Wages for the hospital janitorial personnel.
2. Property taxes on the hospital building.
3. Depreciation on the hospital building.
4. Depreciation on the X ray department equipment [Manufacturing overhead]
B. The costs that are incurred during the production of a good or service are usually divided into three categories, which are direct material, direct labour and overhead costs.
Direct materials refer to those materials used in the production process which can be traced to a particular unit or department. A good example of a direct material is the raw materials used in the production unit for the production of a particular product.
Direct labour refers to the salaries and wages of those employees that are directly involved in the production process or in carrying out a particular operation. An example of a direct labour for the production of chocolates is the salary of those workers in the production unit.
Overhead cost refers to all other costs that are incurred during the process of production.These costs can not be traced to a specific department per say, but it cover the whole business unit. Overhead cost is of two types: administrative and manufacturing overheads. Examples of overhead costs are rent, utilities, insurance, depreciation, etc.
Answer:
4 years
Explanation:
Payback period is the time in which a project returns back the initial investment in the form of net cash flow.
Initial Investment = $280,000
Net Income = $20,000
To calculate the net cash flows add bask the depreciation expense in Net income each year.
Depreciation = ($280,000 - $30,000) / 5 = $50,000
Net Cash Flow = $20,000 + $50,000 = $70,000
Payback period = Initial Investment / yearly cash flow = $280,000 / $70,000 = 4 years
