subject
Business, 19.11.2019 02:31 ringo12384

On august 1, rantoul stores inc. is considering leasing a building and purchasing the necessary equipment to operate a retail store. alternatively, the company could use the funds to invest in $1,000,000 of 4% u. s. treasury bonds that mature in 15 years. the bonds could be purchased at face value. the following data have been assembled: cost of store equipment $1,000,000life of store equipment 15 yearsestimated residual value of store equipment $50,000yearly costs to operate the store, excluding depreciation of store equipment $200,000yearly expected revenues—years 1–6 $300,000yearly expected revenues—years 7–15 $400,000required: 1. prepare a differential analysis as of august 1 presenting the proposed operation of the store for the 15 years (alternative 1) as compared with investing in u. s. treasury bonds (alternative 2).

ansver
Answers: 3

Another question on Business

question
Business, 22.06.2019 05:00
What is free trade? a. trade that is not subject to taxes or fees b. trade that governments do not interfere with c. trade with a high level of government regulation d. trade between states in the u.s. b
Answers: 1
question
Business, 22.06.2019 11:40
Manipulation manufacturing's (amm) standards anticipate that there will be 5 pounds of raw material used for every unit of finished goods produced. amm began the month of maymay with 8,000 pounds of raw material, purchased 25,500 pounds for $ 15,300 and ended the month with 7,400 pounds on hand. the company produced 4,9004,900 units of finished goods. the company estimates standard costs at $ 1.10 per pound. the materials price and efficiency variances for the month of maymay were:
Answers: 1
question
Business, 22.06.2019 16:00
Analyzing and computing accrued warranty liability and expense waymire company sells a motor that carries a 60-day unconditional warranty against product failure. from prior years' experience, waymire estimates that 2% of units sold each period will require repair at an average cost of $100 per unit. during the current period, waymire sold 69,000 units and repaired 1,000 units. (a) how much warranty expense must waymire report in its current period income statement? (b) what warranty liability related to current period sales will waymire report on its current period-end balance sheet? (hint: remember that some units were repaired in the current period.) (c) what analysis issues must we consider with respect to reported warranty liabilities?
Answers: 1
question
Business, 22.06.2019 17:30
One of your new suppliers, kim, has been hearing rumors about your firm’s lack of capability to deliver high quality products and writes an email asking you to address the claims being made. in replying to her, you want to be sure that you are very clear and leave no room for misinterpretation. which of the following aspects of effective communication should you give the most attention? (a) making sure you understand kim’s areas of expertise. (b) supporting your reply with relevant data and facts. (c) establishing your credibility as an expert. (d) paying attention to implied communications.
Answers: 2
You know the right answer?
On august 1, rantoul stores inc. is considering leasing a building and purchasing the necessary equi...
Questions
question
Biology, 19.10.2020 02:01
question
Mathematics, 19.10.2020 02:01
question
Mathematics, 19.10.2020 02:01
question
Mathematics, 19.10.2020 02:01
question
Mathematics, 19.10.2020 02:01
question
Mathematics, 19.10.2020 02:01