Business, 15.04.2020 23:31 sheyenne143
Laserwords Inc. is a book distributor that had been operating in its original facility since 1987. The increase in certification programs and continuing education requirements in several professions has contributed to an annual growth rate of 15% for Laserwords since 2012. Laserwords’ original facility became obsolete by early 2017 because of the increased sales volume and the fact that Laserwords now carries CDs in addition to books.
On June 1, 2017, Laserwords contracted with Black Construction to have a new building constructed for $4,000,000 on land owned by Laserwords. The payments made by Laserwords to Black Construction are shown in the schedule below.
Date
Amount
July 30, 2017
$900,000
January 30, 2018
1,500,000
May 30, 2018
1,600,000
Total payments
$4,000,000
Construction was completed and the building was ready for occupancy on May 27, 2018. Laserwords had no new borrowings directly associated with the new building but had the following debt outstanding at May 31, 2018, the end of its fiscal year.
10%, 5-year note payable of $2,000,000, dated April 1, 2014, with interest payable annually on April 1.
12%, 10-year bond issue of $3,000,000 sold at par on June 30, 2010, with interest payable annually on June 30.
The new building qualifies for interest capitalization. The effect of capitalizing the interest on the new building, compared with the effect of expensing the interest, is material.
A. Compute the weighted-average accumulated expenditures on Laserwords’s new building during the capitalization period.
B Calculate Weighted-Average Interest Rate
C: Calculate Avoidable Interest
Answers: 3
Business, 21.06.2019 22:30
Your project team’s recommendations to increase productivity have been approved and your team is now working on an implementation plan. in order to accomplish the plan, several subject matter experts from various parts of the organization have been brought in to assist. you have noticed friction and conflict among team members. some of the disagreement and opposition on your team supports the achievement of team goals and objectives. this type of conflict can be described as:
Answers: 1
Business, 22.06.2019 07:30
Suppose a firm faces a fixed price of output, 푝푝= 1200. the firm hires workers from a union at a daily wage, 푤푤, to produce output according to the production function 푞푞= 2퐸퐸12. there are 225 workers in the union. any union worker who does not work for this firm is guaranteed to find nonunion employment at a wage of $96 per day. a.what is the firm’s labor demand function? b.if the firm is allowed to choose 푤푤, but then the union decides how many workers to provide (up to 225) at that wage, what wage will the firm set? how many workers will the union provide? what is the firm’s output and profit? what is the total income of the 225 union workers? c.now suppose that the union sets the wage, but the firm decides how many workers to hire at that wage (up to 225). what wage will the union set to maximize the total income of all 225 workers? how many workers will the firm hire? what is the firm’s output and profit? what is the total income of the 225 union workers? [hint: to maximize total income of union, take the first order condition with respect to w and set equal to 0.]
Answers: 3
Business, 22.06.2019 21:10
Which statement or statements are implied by equilibrium conditions of the loanable funds market? a firm borrowing in the loanable funds market invests those funds with a higher expected return than any firm that is not borrowing. investment projects which use borrowed funds are guaranteed to be profitable even after paying interest expenses. the quantity of savings is maximized, thus the quantity of investment is maximized. a loan is made at the minimum interest rate of all current borrowing.
Answers: 3
Business, 22.06.2019 21:40
Which of the following distribution systems offers speed and reliability when emergency supplies are needed overseas? a. railroadsb. airfreightc. truckingd. pipelinese. waterways
Answers: 2
Laserwords Inc. is a book distributor that had been operating in its original facility since 1987. T...
Mathematics, 16.06.2021 19:50
Mathematics, 16.06.2021 19:50
English, 16.06.2021 19:50
Biology, 16.06.2021 19:50
Mathematics, 16.06.2021 19:50
History, 16.06.2021 19:50
Biology, 16.06.2021 19:50
History, 16.06.2021 19:50
Mathematics, 16.06.2021 19:50
Mathematics, 16.06.2021 19:50
English, 16.06.2021 19:50
Biology, 16.06.2021 19:50