3. a. Burton's explicit cost's are $18,000 per month. His implicit costs are $20,000 per month ($15,000 + $5,000). b. Opportunity cost = explicit + implicit costs = $18,000 + 20,000 = $38,000 per month c. Burton Cummings’ costs of production (= $38,000/month) exceed his revenues by $13,000 (= 38,000 – 25,000). Rather than lose $13,000 per month, Burton could rent his rig (and receive $15,000 per month) and drive trucks for another firm (and earn $5,000 per month).
Increase of $8,000 B. Increase of $1,000 C. Decrease of $7,000 D. Decrease of $1,000 47. The following monthly data are available for the Eager Company and its only product: Sales (7,000 units @ $75)………………...$525,000 Variable expenses (7,000 units @ $30)…..$210,000 Total fixed expenses……………………...$180,000 The margin of safety for the company for March was: A. $315,000 B. $225,000 C. $135,000 D.
Joe makes $15 per hour and works 40 hours per week. 30-year mortgage interest rate of 6.25% and a monthly payment of $439.00 15-year mortgage interest rate of 5.25% and a monthly payment of $575.00 Down payment: 5% minimum Taxes last year were $375. Insurance is $250 per year. What you are looking for: 1. Can Joe afford the monthly payments with taxes and insurance for either a 30 or 15 year mortgage?
– 133 2013 net sales / base year 2011 net sales = 800,000 / 600,000 = 1.33 1.33 x 100% = 133% 5. In analyzing financial statements, horizontal analysis is a- tool 6. Comparative balance sheets - are usually prepared for at least two years 7. Assume the following cost of goods sold data for a company: 2013 $1,500,000 2012 1,200,000 2011 1,000,000 If 2011 is the base year, what is the percentage increase in cost of goods sold from 2011 to 2013? – 50% = New - Old Old 100 8.
2. Harley purchased $15,000 of equipment for cash. 3. Harley paid $500 cash to rent space for the first month of operations. 4.
They only hired men to work for them and their minimum wage was $5 per 8 hours. “Ford announced that it would pay its male factory workers a minimum wage of $5 per eight-hour day, upped from a previous rate of $2.34 for nine hours… $5 per day was nearly double what the average auto worker made” (“Ford factory workers get 40-hour week” 1). This quote is proving that workers were getting paid double what the average auto worker earned. It created a middle class and raised the standard of living for the American factory workers. For the workers to be productive they had to create the five-day workweek.
She conducted market research and found that after-tax cash flows on the investment should be about $15,000 per year for the next 7 years. The franchiser stated that Kay would generate a 20 percent return. Her cost of capital is 10 percent. Find the following: a) The PVB. Payment is 15000, 7 is N, FV is 0, 10 is the I/Y and compute for the PV b) The PVC.
ACCT 323 Week 4 Homework Solutions https://hwguiders.com/downloads/acct-323-week-4-homework-solutions/ ACCT 323 Week 4 Homework Solutions 1) In the current tax year, Gunther earned $125,000 from his job as a civil engineer. In addition, he received $30,000 of income from Activity A, and lost $40,000, and 20,000 from Activities B and C respectively. Activities A, B, and C are passive activities that Gunther acquired in the current year. What amount of loss may Gunther deduct on his current year taxes with respect to each activity? What amount of loss, if any, must be carried over to the subsequent year for each activity?
$30,000 of depreciation on the equipment used to manufacture the parts. c. The supervisor's salary of $25,000, which would be avoided if the part is purchased from an outside supplier. d. $15,000 in rent from leasing the production space to another company if the part is purchased from an outside supplier. status: correct (1.0) correct: b your answer: b feedback: Correct. ________________________________________ 2 The following information pertains to the Norfolk Company's three products: Product B's production is increased to 700 units per year but B's selling price on all units of B is reduced to $8.00.
Suburbs Friends of ours, Dan and Heather, built a house in a small town about 35 kilometres from Lethbridge, AB. Their home cost $320,000 – about $100,000 less than a similar home in Lethbridge – and their lot is twice the size. Heather works in town, and Dan works in Lethbridge. His drive to the office takes about 35 minutes each way. Between his daily commute, and their trips into Lethbridge for grocery shopping and entertainment, they spend $550 a month on gas.