Which of the following is incorrect?
A. Value with risk = Value without risk – Cost of risk
B. Value without risk – Value with risk = Cost of risk
C. Less variability = More risk
D. Greater variability = Greater risk
In: Accounting
Is the accumulated cost of construction work in progress recorded as an asset anywhere within the financial statements or notes? Which fund, or funds, account for cash received, or receivables created, from sales of general capital assets? Are the proceeds of sales of general capital assets reported as an other financing source or as revenue.
In: Accounting
In: Operations Management
1,
a)Carolyn owns a home with a replacement cost of $400,000 that is insured under a Homeowners 3 policy for $260,000. The roof was badly damaged in a severe windstorm, and it will cost $20,000 to repair the roof. The actual cash value of the loss is $15,000. Ignoring any deductible, how much will Carolyn collect from the insurer?
b) Carolyn owns a home with a replacement cost of $400,000 that is insured under a Homeowners 3 policy for $340,000. The roof was badly damaged in a severe windstorm, and it will cost $20,000 to repair the roof. The actual cash value of the loss is $15,000. Ignoring any deductible, how much will Carolyn collect from the insurer?
In: Finance
Carolyn owns a home with a replacement cost of $400,000 that is insured under a Homeowners 3 policy for $340,000. The roof was badly damaged in a severe windstorm, and it will cost $20,000 to repair the roof. The actual cash value of the loss is $15,000. Ignoring any deductible, how much will Carolyn collect from the insurer?
In: Finance
John owns a home with a replacement cost of $400,000 that is insured under a Homeowners 3 policy for $280,000. The roof was badly damaged in a severe windstorm, and it will cost $20,000 to repair the roof. The ACV (actual cash value) of the loss is $10,000. Ignoring any deductible, how much will John collect from the insurer? ( Use the formula)
In: Operations Management
Compute the cost of insurance for a $1,000 life insurance policy in a year where the policy’s terminal reserve is $400 and the tabular probability of the insured’s death is 0.004.
In: Finance
How do we compute the weighted average cost of capital of a firm?
In: Finance
Cost of Units Completed and in Process
The charges to Work in Process—Assembly Department for a period, together with information concerning production, are as follows. All direct materials are placed in process at the beginning of production.
| Work in Process—Assembly Department | |||
|---|---|---|---|
| Bal., 9,000 units, 65% completed | 31,635 | To Finished Goods, 207,000 units | ? |
| Direct materials, 212,000 units @ $1.5 | 318,000 | ||
| Direct labor | 492,900 | ||
| Factory overhead | 191,685 | ||
| Bal. ? units, 45% completed | ? | ||
a. Based on the above data, determine the different costs listed below.
If required, round your interim calculations to two decimal places.
| 1. Cost of beginning work in process inventory completed this period. | $ |
| 2. Cost of units transferred to finished goods during the period. | $ |
| 3. Cost of ending work in process inventory. | $ |
| 4. Cost per unit of the completed beginning work in process inventory, rounded to the nearest cent. | $ |
b. Did the production costs change from the preceding period?
Answers -
No/Yes?
c. Assuming that the direct materials cost per unit did not change from the preceding period, did the conversion costs per equivalent unit increase, decrease, or remain the same for the current period?
Answers -
Decrease/increase/remain the same?
In: Accounting
) Suppose that the firm’s total cost function is of the form C(y) = 100 + 10y + y^2 . Where does the average cost function reach a minimum? Consider the following demand curves:
i. D(P) = 130 − 4P
ii. D(P) = 120 − 2P
iii. D(P) = 120 − 4P
For which of these examples is the firm a natural monopoly? [There may be multiple tests to answer this question. Clearly state which one you are using. That is give a specific mathematical criterion for this and the intuition for using that choice.
Can you please explain thoroughly, thank you.
In: Economics