Your parent offer you the opportunity to invest 5,000,000,000 VND in new beverage shop (coffee/ milk tea/ bubble tea …) on the existing building on their property. It is located in the
city centre. This building has 200m2 of space. Assumed that the project lasts 10 years,
opportunity cost of capital is 10%, corporate income tax is ignored.
a. You should make some assumptions and forecast initial investment (cost of repairing
old building and purchase of fixed assets); operation cash flow (annual sale revenue
price per cup of drinks, number of cups of drinks per year, all relevant costs of
operating, depreciation expenses, profit and cash flow from operation); and cash flow
from changes in working capital. For each of assumption, clarify and explain in details
the amount forecasted.
b. For this project, calculate:
- NPV (Net present value)
- Payback period
- Profitability index
c. Do you invest this project? Why?

5. if you were to take a typical payday loan for $150, with an interest rate of 24.5% due in full after two weeks, what is the total amount you would have to repay? a. $186.75 b. $174.50 c. $157.33 d. $153.67

Why does the downward-sloping production possibilities curve imply that factors of production are scarce?

Exercise 6-2 variable costing income statement; explanation of difference in net operating income [lo6-2] ida sidha karya company is a family-owned company located on the island of bali in indonesia. the company produces a handcrafted balinese musical instrument called a gamelan that is similar to a xylophone. the gamelans are sold for $970. selected data for the company’s operations last year follow: units in beginning inventory 0 units produced 200 units sold 180 units in ending inventory 20 variable costs per unit: direct materials $ 130 direct labor $ 300 variable manufacturing overhead $ 30 variable selling and administrative $ 15 fixed costs: fixed manufacturing overhead $ 63,000 fixed selling and administrative $ 25,000 the absorption costing income statement prepared by the company’s accountant for last year appears below: sales $ 174,600 cost of goods sold 139,500 gross margin 35,100 selling and administrative expense 27,700 net operating income $ 7,400 required: 1. under absorption costing, how much fixed manufacturing overhead cost is included in the company's inventory at the end of last year? 2. prepare an income statement for last year using variable costing.