In order to start a coffee business, the Manager took a 300K loan from the bank. He/she will have to pay 10K monthly for three years.

a-Calculate the effective interest rate (per year).

b-If the coffee business makes a Revenue=19K/month and has an operational cost of 12K/Month, Calculate the PW if the study period is 5 years and the MARR is equal to 1.5% per month.

Solve by spreadsheet.

A university is trying to determine what price to charge for tickets to football games. At a price of ​$22 per​ ticket, attendance averages 40,000 people per game. Every decrease of ​$22 adds 10,000 people to the average number. Every person at the game spends an average of ​$3.00 on concessions. What price per ticket should be charged in order to maximize​ revenue? How many people will attend at that​ price?

Classify each of the following items as an (O) operating activity, (I) investing activity, or (F) financing activity

____Purchase of a building

____issuance of capital stock

____receipt of interest revenue

____cash receipts from customers

____paid cash dividend to stockholders

____ paid inventory suppliers

____ collection of long term note

____ issuance of a long-term note payable

____ paid interest expense

____ purchased the stock of another company

Journalize Bennett Enterprises’ entries to record: the issuance of the note. the payment of the note at maturity. 1. Inventory 540,000 Notes Payable 540,000 2. Notes Payable 540,000 Interest Expense 6,075 Cash 546,075 Feedback b. Journalize Spectrum Industries’ entries to record: the receipt of the note. the receipt of the payment of the note at maturity. 1. Notes Receivable Sales 2. Cash Notes Receivable Interest Revenue

Calculate the unknown amounts appearing in each column:

Consider a project with an initial investment of $60,000, a 6 year usefule life (and study period), and a $10,000 salvage value. You expect an annual net revenue of $15,000 (before tax), a MARR before tax of 15.3%, and an effective tax rate of 35%. The capital equipment is to be depreciated using MACRS GDS and a 3 year class life. Develop the after-tax cash flows and draw the cash flow diagram

       The following information is from Franklin Industries master budget for 2008:

Prepare flexible budgets for the production and sale of 14,000, 15,000 and 16,000 units, respectively.

Q1.

The following information was taken from the accounting
records of JBD Company as of December 31, 2020:

Inventory .................   $17,000
Accounts Payable ..........   $36,000
Common Stock ..............   $78,000
Accounts Receivable .......   $11,000
Retained Earnings .........   $24,000 (at January 1, 2020)
Copyright .................   $20,000
Salaries Expense ..........   $28,000
Supplies ..................   $12,000
Mortgage payable ..........   $80,000 (due March 1, 2040)
Land ......................   $93,000
Notes Payable .............   $17,000 (due November 1, 2022) 
Trademark .................   $37,000
Sales Revenue .............   $97,000
Equipment .................   $85,000
Income Tax Expense ........   $10,000
Cost of Goods Sold ........   $45,000
Salaries Payable ..........      ?
Cash ......................      ?
Accumulated Depreciation ..      ?
Dividends .................      ?
Interest revenue ..........      ?

Additional information:
1)  Total current assets at December 31, 2020 are equal to
    30% of the total assets at December 31, 2020.

2)  20% of JBD’s 2020 net income was paid to stockholders
    as dividends.

3)  Total long-term liabilities at December 31, 2020 are
    equal to total current liabilities at December 31, 2020.

4)  Total equity at December 31, 2020 is equal to 35% of the
    total liabilities at December 31, 2020.

Calculate the balance in the accumulated depreciation account
at December 31, 2020.