Answer:
A. 300
Explanation:
The computation of the economic order quantity is shown below:
= 
where,
Annual demand = 600 bottles × 50 weeks = 30,000 bottles
Carrying cost per bottle = $50 × 40% = $20
And, the ordering cost per order is $30
Now put these values to the above formula
So, the value would equal to
= 
= 300 bottles
Hence, option A is correct
Answer:
a. $46,000
see the other answers in the explanation
Explanation:
(a) Fair value of leased asset to lessor $245,000
Less: Present value of unguaranteed residual value $24,335 X .63017
(present value of 1 at 8% for 6 periods) $15,335
Amount to be recovered through lease payments $229,665
Six periodic lease payments $229,665 ÷ 4.99271 $46,000*
*Present value of an annuity due of 1 for 6 periods at 8%.
b.
(c)
1/1/17
Lease Receivable 245,000
Cost of Goods Sold 229,665
Sales Revenue 229,665
Inventory 245,000
1/1/17
Cash 46,000
Lease Receivable 46,000
12/31/17
Lease Receivable 15,920
Interest Revenue 15,920
1/1/18
Cash 46,000
Lease Receivable 46,000
12/31/18
Lease Receivable 13,514
Interest Revenue 13,514
False.
It DECREASES. The midpoint of the demand curve will be unitary elastic, whereas above it, it will be elastic and below it, it will be inelastic.
Answer:
11.18%
Explanation:
The firm average cost of equity is shown below:
Under Dividend growth, the common stock is
= dividend growth rate + dividend yield
= 3.75% + 4.53%
= 8.28%
Under CAPM, the common stock is
= Risk-free rate of return + Beta × (Market rate of return - risk-free rate of return)
=3.1% + 1.15 × (12.65% - 3.1%)
= 14.08%
Now the average cost of equity of the firm is
= (8.28% + 14.08%) ÷ 2
= 11.18%
That would be the "library of congress" type of system
