subject
Business, 05.05.2020 19:37 goofy44

Starling Co. is considering disposing of a machine with a book value of $23,500 and estimated remaining life of five years. The old machine can be sold for $5,300. A new high-speed machine can be purchased at a cost of 68,900. It will have a useful life of five years and no residual value. It is estimated that the annual variable manufacturing costs will be reduced from $23,100 to $19,900 if the new machine is purchased. The five-year differential effect on profit from replacing the machine is a(n):.a. decrease of $66,430.
b. decrease of $51,100.
c. increase of $51,100.
d. increase of $66,430.

ansver
Answers: 1

Another question on Business

question
Business, 22.06.2019 12:30
M. cotteleer electronics supplies microcomputer circuitry to a company that incorporates microprocessors into refrigerators and other home appliances. one of the components has an annual demand of 235 units, and this is constant throughout the year. carrying cost is estimated to be $1.25 per unit per year, and the ordering (setup) cost is $21 per order. a) to minimize cost, how many units should be ordered each time an order is placed? b) how many orders per year are needed with the optimal policy? c) what is the average inventory if costs are minimized? d) suppose that the ordering cost is not $21, and cotteleer has been ordering 125 units each time an order is placed. for this order policy (of q = 125) to be optimal, determine what the ordering cost would have to be.
Answers: 1
question
Business, 22.06.2019 16:30
Penelope summers received certain income benefits in 2018. she received $1,400 of state unemployment insurance benefits, $2,000 from a federal unemployment trust fund and $3,700 workers’ compensation received for an occupational injury. what amount of the compensation must penelope include in her income
Answers: 1
question
Business, 22.06.2019 19:40
Moody corporation uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours. at the beginning of the year, the company made the following estimates: machine-hours required to support estimated production 100,000 fixed manufacturing overhead cost $ 650,000 variable manufacturing overhead cost per machine-hour $ 3.00 required: 1. compute the plantwide predetermined overhead rate. 2. during the year, job 400 was started and completed. the following information was available with respect to this job: direct materials $ 450 direct labor cost $ 210 machine-hours used 40
Answers: 3
question
Business, 23.06.2019 00:00
Match each economic concept with the scenarios that illustrates it
Answers: 2
You know the right answer?
Starling Co. is considering disposing of a machine with a book value of $23,500 and estimated remain...
Questions
question
Mathematics, 20.05.2021 21:10
question
Mathematics, 20.05.2021 21:10
Questions on the website: 13722367