Net present value : It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow . NPV helps in decision making regarding a project. Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order. Requirement-1: To Calculate: Payback period of the project.

Question

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Answer 1

Question

Chapter 7, Problem 7.13E

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-1:

To Calculate:

Payback period of the project.

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-2:

To Calculate:

Simple rate of return promised by the offer.

Expert Solution & Answer

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Johnson Manufacturing makes a single product. The company has monthly fixed costs totaling $180,000 and variable costs of $19 per unit. Each unit of product is sold for $35. Johnson expects to sell 21,000 units each month. What would be the operating profit if the total fixed costs decrease by 25%?

I need assistance with this general accounting question using appropriate principles.

What is the ending inventory under variable cost?

Answer 2

Question

Chapter 7, Problem 7.13E

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-1:

To Calculate:

Payback period of the project.

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-2:

To Calculate:

Simple rate of return promised by the offer.

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 7, Problem 7.13E

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-1:

To Calculate:

Payback period of the project.

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-2:

To Calculate:

Simple rate of return promised by the offer.

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 7, Problem 7.13E

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-1:

To Calculate:

Payback period of the project.

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-2:

To Calculate:

Simple rate of return promised by the offer.

Expert Solution & Answer

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Check out a sample textbook solution

See solution

Answer 5

Chapter 7, Problem 7.13E

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-1:

To Calculate:

Payback period of the project.

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-2:

To Calculate:

Simple rate of return promised by the offer.

Answer 6

Chapter 7, Problem 7.13E

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-1:

To Calculate:

Payback period of the project.

Answer 7

Chapter 7, Problem 7.13E

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-1:

To Calculate:

Payback period of the project.

Answer 8

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-2:

To Calculate:

Simple rate of return promised by the offer.

Answer 9

To determine

Concept Introduction:

Net present value: It is the net inflow from the project which is calculated after considering the taxes and present value factor. It is calculated by reducing the net cash outflow from the net cash inflow. NPV helps in decision making regarding a project.

Payback period is period in which company get back the amount which is invested by them into the project. This method also helps company to take decision related to the accepting or rejecting the order.

Requirement-2:

To Calculate:

Simple rate of return promised by the offer.

Answer 10

Expert Solution & Answer

Answer 11

Expert Solution & Answer

Answer 12

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Answer 13

Ch. 7 - Prob. 7.1Q Ch. 7 - Prob. 7.2Q Ch. 7 - Prob. 7.3Q Ch. 7 - Prob. 7.4Q Ch. 7 - Prob. 7.5Q Ch. 7 - Prob. 7.6Q Ch. 7 - Prob. 7.7Q Ch. 7 - Prob. 7.8Q Ch. 7 - Prob. 7.9Q Ch. 7 - Prob. 7.10Q

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