Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
A newly developed device is being considered by Fairway Foods for use in processing and canning peaches. The device, which is available only on a royalty basis, is reported to be a great labor saver. Fairway's production manager has gathered the following data: Present labor method Proposed royalty method Per year: Labor cost $ 40,000 $ 5,000 Royalty cost - $ 20,000 Initial startup costs associated with the new device - $ 100,000 The new device must be obtained through a licensing arrangement with the developer. The license period lasts for only 8 years. Fairway Foods' required rate of return is 10%.
Required:
a. By use of the incremental cost approach, compute the net present value of the proposed licensing of the new device. (Round "PV Factor" to 3 decimal places. Round your other intermediate calculations and final answers to the nearest whole dollar.) (Use Exhibit 11B-2) Net present value $
b. Should the company enter into a licensing arrangement to use the new device?
marsh contractors agreed to construct a building at a contract price of 6000000. marsh estimated total construction
a company constructs a building for its own use. construction began on january 1 and ended on december 30. the
ZAK trading was incorporated on January 1/2006 with an initial capital of 200,000 during the first month of its operations the company engaged in following trans actions
what does the term net realizable value mean with regard to the accounts receivable account?a. the gross amounts owed
You are the independent accountant assigned to the audit of Neophyte Company. The company's accountant, a graduate of Rival State University, has prepared financial statements which contained the following questionable items:
on november 1 of the current year richard simmons established a sole proprietorship. the following transactions
explain the difference between the amount of net income and amount of net cash flow from operating activities.
Assets that the governing board of a public university, rather than a donor or other outside agency, has determined are to be retained and invested for future scholarships would be reported as:
Gilkey Construction Company writes of the account of Arthur Blanks of $78,000. The journal entry to record this under the direct write off method is:
roberts company manufactures one product. on december 31 2004 roberts adopted the dollar-value lifo inventory method.
What is the minimum transfer price Division A should charge for internal transfers? What is the maximum price Division B would be willing to pay? Why should Division A reduce its price to Division B?
growth rates. find the sustainable and internal growth rates for a firm with the following ratiosasset turnover is 1.40
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd