In 1993, Skysong Company completed the construction of a building at a cost of $2,120,000 and first occupied it in January 1994. It was estimated that the building will have a useful life of 40 years and a salvage value of $64,000 at the end of that time. Early in 2004, an addition to the building was constructed at a cost of $530,000. At that time, it was estimated that the remaining life of the building would be, as originally estimated, an additional 30 years, and that the addition would have a life of 30 years and a salvage value of $21,200. In 2022, it is determined that the probable life of the building and addition will extend to the end of 2053, or 20 years beyond the original estimate.
Compute the annual depreciation to be charged, beginning with 2022. (Round answer to 0 decimal places, e.g. 45,892.)
| Annual depreciation expense—building |
In: Accounting
A new piece of equipment will have a fixed cost of $250,000 and the product it would produce has a variable cost of $22.50, and a selling price of $35.
A. What is the break-even point?
B. How many units must be sold to make a profit of $750,000?
C. How many units must be sold to average $0.50 profit per unit? $0.75 profit per unit? And $2.50 per unit?
D. If investors expect a 15% Return on Investment (ROI), how many units must be sold to achieve this goal?
In: Operations Management
1. Which one of the following is an overhead cost:
| A | All of these are overhead |
| B | Insurance |
| C | Office equipment |
| D | Travel |
2. Find the average annual value of a bulldozer that was purchased at $899,999.00 and the freight cost was $10,206. It currently has 10 years of useful life left and a salvage value of $65,000 an the tracks cost $15,000.
| A | $521,613 |
| B | $44,760 |
| C | $529,861 |
| D | $500,613 |
3. TRUE OR FALSE: Bidding procedures are usually fixed in a private
project bidding situation.
4. The premium that contractor must pay on a contract bond is based on:
| A | Bond rates |
| B | Duration of the project |
| C | All of these are a consideration for the bond premium |
| D | Total contract amount |
| E | Type of construction |
In: Operations Management
1. A rise in the real rate of interest ________ the opportunity cost of holding an inventory of a given size, and therefore ________ desired investment expenditure.
Select one:
a. decreases; decreases
b. decreases; leaves unaffected
c. increases; decreases
d. decreases; increases
e. increases; increases
2. If nominal national income increased by 20% over a certain period of time while real national income increased by 10%, then
Select one:
a. everybody in the economy became worse off.
b. inflation has decreased during this time period.
c. the price level has increased by approximately 10%.
d. the price level has declined by about 10%.
e. the labour force increased by 10%.
3. Suppose drought destroys many millions of acres of valuable Canadian farmland. The effect on the Canadian economy would be
Select one:
a. no change in Canada's production possibilities boundary.
b. to move its production possibilities boundary outward.
c. to move it along its production possibilities boundary.
d. to move its production possibilities boundary inward.
e. to move it beyond its production possibilities boundary.
4. Consider a simple macro-model with demand-determined output. An exogenous increase in the domestic price level will ________ the real value of the private sector's wealth, which leads to ________ in autonomous consumption and thus ________ shift in the AE function.
Select one:
a. increase; an increase; an upward
b. increase; a decrease; a downward
c. increase; an increase; a downward
d. reduce; a decrease; a downward
e. reduce; an increase; an upward
5. A farmer raises free-range chickens, which he sells to a company for $1000. That company sells the processed chickens to a grocery store for $1600, which in turn produces roasted chickens which are sold to the public for $2400. Based on this information, the value of total output is equal to
Select one:
a. $4000
b. $2400
c. $1600
d. $5000
e. $1400
In: Economics
(IN C LANGUAGE) The cost to become a member of a fitness center is as follows:
(a) the senior citizens discount is 30%
(b) if the membership is bought and paid for 12 or more months, the discount is 15%
(c) if more than five personal training sessions are bought and paid for, the discount on each session is 20%
Write a that determines the cost of a new membership.
Your program must contain: a function that displays the general information about the fitness center and its charges a function that prompts for the price per month of a membership and the cost of each personal trainer session
a function that prompts for all of the necessary information to determine the cost of a membership
a function to determine the membership cost
STARTER CODE:
#include <stdio.h>
#include <stdbool.h>
void setPrices(...);
void getInfo(...);
double membershipCost(...);
void displayCenterInfo();
int main()
{
}
void displayCenterInfo()
{
printf("Welcome to Stay Healty and Fit
center.\n");
printf("This program determines the cost of a new
membership.\n");
printf("If you are a senior citizen, then the discount
is 30%% of the regular membership price.\n");
printf("If you buy membership for twelve months and
pay today, the discount is 15%%.\n");
printf("If you buy and pay for 6 or more personal
training session today, the discount on each session is
20%%.\n\n");
}
In: Computer Science
You are evaluating a project that will cost $ 527,000, but is expected to produce cash flows of $ 125 comma 000 per year for 10 years, with the first cash flow in one year. Your cost of capital is 11 % and your company's preferred payback period is three years or less.
a. What is the payback period of this project?
b. Should you take the project if you want to increase the value of
the company?
In: Finance
An important application of regression analysis in accounting is in the estimation of cost. By collecting data on volume and cost and using the least squares method to develop an estimated regression equation relating volume and cost, an accountant can estimate the cost associated with a particular manufacturing volume. Consider the following sample of production volumes and total cost data for a manufacturing operation.
| Production Volume (units) | Total Cost ($) |
| 400 | 3,900 |
| 450 | 4,900 |
| 550 | 5,300 |
| 600 | 5,800 |
| 700 | 6,300 |
| 750 |
6,900 |
In: Math
A transport company is studying the total cost of operations. It is assumed that the costs are driven mainly by the kilometres covered. Data for the past four months is shown here:
| Month | Kilometres | Total Cost ($) |
| January | 8,000 | 144,000 |
| February | 5,000 | 120,000 |
| March | 7,000 | 141,000 |
| April | 9,000 | 195,000 |
a) What is the relevant range for the company operations?
b) Using the high-low method, estimate the company's variable cost per kilometre
In: Accounting
allen is analyzing a project and has determined that the initial
cost will be $760,000 and the required rate of return needs to be
12 percent. The project has a 60 percent chance of success and a 40
percent chance of failure. If the project fails, it will generate
an annual after-tax cash flow of $150,000. If the project succeeds,
the annual after-tax cash flow will be $306,000. She has further
determined that if the project fails, she will shut it down after
the first year and sell the equipment for the after-tax salvage
value of $300,000. If however, the project is a success, she can
expand it with no additional investment and increase the after-tax
cash flow to $326,000 a year for Years 2-5. At the end of Year 5,
the project would be terminated and have no salvage value. What is
the expected net present value of this project at Time 0?
|
$149,588.92 |
||
|
$110,676.38 |
||
|
$74,356.72 |
||
|
$95,094.23 |
||
|
$127,410.88 |
In: Finance
In: Operations Management