1,D u answered it 2,B 3,A 4,E 5,C
Explanation:
Since the cash flows are given in the question for the Investment A and the Investment B
So, the present value could be find out by multiplying the each year cash inflows with its discounted factor i.e 9%
So that the present value could come
The discount factor should be computed by
= 1 ÷ (1 + rate) ^ years
The attachment is shown below:
Answer:
No, Loni should not take the loan and build the app.
Explanation:
If she borrows $87,000 to build the app, at the end of the year she will have to pay $87,000 x (1+0.15) = 100,050 in principal and interest to the bank.
After selling the app she will get 99,000 - 100,050 = $1,050.
In other words, she will be making a loss.
Answer:
a. $352,200
b. $372,100
Explanation:
The cost of goods manufactured
<em>Consider only the manufacturing costs</em>
Cost of goods manufactured = $122,200 + $69,200 + $17,600 + $113,100 + $34,000 + $13,300 - $17,200
=$352,200
Cost of goods sold
<em>Add Cost of goods manufactured to the net of Finished inventory balance</em>
Cost of goods sold = $47,900 $68,800 + $352,200 - $47,900
= $372,100