Solution:
Net operating income from new machine = Savings in labor and other cost - Operation and maintenance cost - Depreciation
= $93,000 - $52,000 - ($310,000/10) = $10,000
Simple rate of return = Net operating income / Initial investment = $10,000 / $310,000 = 3.23%
Hence 2nd option is correct.
rencontres in this problem Mercer Corporn com a technically machine w w e would have n...
NS Cuesdon: 3 pis Queson H One of s customans has negularly com bid on mache hours and prices s cos based n co Cr Plant CP f peodces amiv pat in 2017,wl vale manactaig ad is$330 00 CPs sinple coding sdes alocts vaable mdactaing vewad eec eamination of fme records yeld the looving detaled i mClck the can to view the inmaiony - X Read the repumert gi Requinement 1 Compute te mandang vehead caed to eah onoi 2917...
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Now assume that 20.000 dinal sh o cked to an angel investor a months after the initial incorporation Sh 5 per share o w your awwer in Part A would change of the com mon Mock did not have a vall a nwerin Part par value of 0.01 per share would change given At the end of the first year of S h ow dollar amounts in the common the w all...
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OEDD DEODMUHDEVIVOR Exercises/Problems 1. Stockholders' Equity. The owners of a new venture have decided to organize as a corporation. The ini. tial equity investment is valued at $100,000, reflecting contributions of the entrepreneur and her family and friends. One hundred thousand shares of stock were initially issued. A. What dollar amount would initially be recorded in the common stock account? B. If a par value on the common stock were set at...