A firm needs to raise $950,000 but will incur flotation costs of 5%. How much will it pay in flotation costs? Multiple choice question. $50,000 $55,000 $55,500 $47,500
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A firm needs to raise $950,000 but will incur flotation costs of 5%. How much will it pay in flotation costs?
$50,000
$55,000
$55,500
$47,500
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- 1. Assume a class needs to pay all expenses. The instructor cost $3,000 with an additional administrator cost of $50 per student. Tuition is $600 per student for the course. What is the minimum number of students that need to sign up for the course to run? 2. If firm’s total revenue is $20 million, its fixed costs are $12 million, and its variable cost are $22 million what is its profit? Should the firm shut down or stay in business in the short run? Would the decision change if the Total Revenue was $30 million instead of $20? 3. As the firm’s output expands, explain why the ATC and AVC get closer together.Solve it quickly please Manufacturing company sold 100 car to wholesale trader 7000 RO each plus VAT , wholesale trader sold all 100 cars to retailers for 8000 RO each plus VAT , the retailer realised 850000 RO after selling all 100 cars . Assume VAT 5% . There is input available in manufacturing company was 42500 RO What will be VAT payable by wholesale, manufacturing companies, retailers to government?Give me sell? (financial accounting)
- Given two alternatives, A and B; you have performed the cost analysis below. Your company has an MARR of 10%, which option should you choose? A B А-B Initial Cost $125,000 $105,000 $20,000 Annual $30,500 $27,000 $3,500 Benefits Annual $2,900 $4,000 ($1,100) Costs Salvage $0 $7,000 ($7,000) Value Life 7 7 7 IRR 12.2% 12.9% 7.8% A Neither Either could be chosen, they are equally as goodNote:- I need only question 3 answer. ASAP 2. A company can manufacture a product using hand tools. Tools will cost $ 1,000, and themanufacturing cost per unit will be $ 1.50. As an alternative, an automated system will cost$15,000 and the manufacturing cost per unit will be $ 0.50. With an anticipated annualvolume of 5,000 units and neglecting interest, the payback period (yr) for the automatedsystem is most nearly (A) 2.8 (B) 3.6(C) 15.0(D) never 3. For problem 2, what is the payback period (yr) taking into account the interest lost on the capital invested if the annual interest rate is 5 % per year?(A) 2.4(B) 2.6(C) 3.3(D)4.5How many sell?
- Only typing answer Please explain step by stepAcme Products, Inc. is interested in producing and selling an improved widget. Market research indicates that customers would be willing to pay $90 for such a widget and that 50,000 units could be sold each year at this price. If Acme Products requires a 75% return on sales to undertake production, what is the target cost for the new widget? Select one: O a. $31.50. O b. $67.50. OC. $58.50. Od. $22.50.A4
- Your organization sells tables for $200 each. The fixed cost is $25,000 per annum with current demand at 700 tables per annum. Each table has a direct material cost of $65 and direct labour cost of $83. Required: A. I) what is profit based on the current demand? i) How many tables should be sold to get a profit of $5,000? A. The organization is considering two alternative proposals. i. Reducing selling price by 15% which is expected to increase demand by 10% ii. Increase selling price by 5% which is expected to reduce demand by 10% What will be the profits or loss under each alternative proposal?You are asked to select the best purchase option: there are two machines. You are only given data on the costs, because the sales will be exactly the same for both alternatives. Therefore, you have to select the equipment that generates the lowest costs! The MARR is 12% annual nominal, compounded annually for both machines. Machine AMachine B $62,000 $77,000 Annual Net Cash Flows$15,000 $21,000 $8,000 4 years Initial Investment Salvage Value Useful life $10,000 б уеarsRed Company is considering launching a new product which it believes has a 60% probability of success. The company is, however, considering undertaking an advertising campaign costing R60,000, which would increase the probability of success to 95%. If successful the product would generate income of R220,000 otherwise R85,000 would be received. What is the maximum amount that the company should be prepared to pay for advertising? A. R21,000 B. R81, 000 C. R39,000 D. R47 250
