Remaining Time: 2 hours, 12 minutes, 08 seconds. Question Completion Status: Payton Bags (PB) is a designer of high-quality backpacks. Each design is made in small batches. Each spring. PB comes out w

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Answer 1

Analyzing the fee shape and budgeted information for Payton Bags (PB) allows us to recognize the price hierarchy, become aware of appropriate cost drivers, and calculate budgeted expenses for each product line. By categorizing expenses into direct substances, direct exertions, setup, delivery, design, and plant utilities, we can decide the cost hierarchy level for every class, including unit-level, batch-degree, or facility-level fees.

Calculating the budgeted value in step with a unit of price driving force for each class provides insight into the price allocation for destiny manufacturing. Finally, computing the budgeted total fees and fees according to the unit for each product line, backpack, and purse, enables us to evaluate the expected economic impact and make informed decisions concerning pricing and profitability.

The cost hierarchy degree for each cost class may be diagnosed as follows:

Direct Materials: Unit-level prices, as they range immediately with the number of gadgets produced. The greater purses or backpacks manufactured, the better the direct materials cost.

Direct Labor: Unit-stage expenses, much like direct substances, as they also grow with the number of units produced. The extra purses or backpacks manufactured, the higher the direct exertion value.

Setup: Batch-stage expenses, as they may be incurred whenever the equipment is converted to supply a new batch of products. The setup cost isn't always dependent on the variety of units produced but as a substitute for the variety of batches.

Shipping: Batch-degree fees, as they vary with the range of shipments made to wholesalers. The more batches of merchandise shipped, the better the shipping cost.

Design: Product-level charges, as they're unique to every design and are incurred once a yr. The design cost isn't always affected by the number of units produced or batches made.

Plant Utilities: Facility-level costs, as they're associated with the overall operation of the producing facility and aren't at once connected to the wide variety of devices, batches, or designs.

The maximum appropriate value driving force for every price class may be determined as follows:

Direct Materials: The number of gadgets produced might be the appropriate cost-driving force. The extra units produced, the better the direct materials cost.

Direct Labor: Similar to direct materials, the number of devices produced would be an appropriate cost driver. The greater devices produced, the better the direct hard work value.

Setup: The wide variety of batches would be the correct cost driver. The more batches produced, the higher the setup cost.

Shipping: The variety of shipments would be the perfect value motive force. The greater shipments made, the higher the transport fee.

Design: The number of designs could be the appropriate value-driving force. Each layout incurs a specific design cost, regardless of the wide variety of devices or batches produced.

Plant Utilities: The range of designs may be taken into consideration because the price motive force, as one-of-a-kind designs can also require varying power intake and facility utilization.

To calculate the budgeted price per unit of price motive force for every price class, divide the full fee for every class through the corresponding value motive force:

Budgeted value per unit of Direct Materials (purses) = $405,665 / 1,550 gadgets

Budgeted fee per unit of Direct Materials (backpacks) = $457,775 / 2,550 devices

Budgeted value according to a unit of Direct Labor (handbags) = $104,400 / 83 hours

Budgeted price in step with a unit of Direct Labor (backpacks) = $112,100/125 hours

Budgeted cost according to unit of Setup = $69,680 /3 batches

Budgeted fee in step with a unit of Shipping = $74,880 /3 shipments

Budgeted cost per unit of Design = $168,000 / 3 designs

Budgeted fee in line with a unit of Plant Utilities = $225,500 / three designs

To calculate the budgeted total fees and a fee per unit for every product line:

Backpacks:

Total Cost = Direct Materials (backpacks) + Direct Labor (backpacks) + Setup + Shipping + Design + Plant Utilities

Cost in step with Unit = Total Cost / Number of Backpacks

Purses:

Total Cost = Direct Materials (handbags) + Direct Labor (purses) + Setup + Shipping + Design + Plant Utilities

Cost consistent with Unit = Total Cost / Number of Purses

Note: The precise calculations for the budgeted general prices and cost in keeping with the unit might require the specific values for every fee class, which are not furnished in the given statistics.

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The correct question is:

Remaining Time: 2 Hours, 12 Minutes, 08 Seconds. Question Completion Status: Payton Bags (PB) Is A Designer

Related Questions

our self-talk consists of words pictures and emotions. as we imprint our affirmations we

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Self-talk is your inner voice or the way you speak to yourself. Although you almost probably are doing it without realizing it, you almost certainly are. In order to produce an internal monologue throughout the day, this inner voice mixes conscious thoughts with ingrained beliefs and biases.

What are the four categories of self-talk?

Your inner discourse is known as self-talk.

Personalizing. You own all of the guilt for yourself.

Magnifying.

Catastrophizing.

Polarizing.

What are the five tiers of one's own self-talk?

Helm Stetter outlines the "Five Levels of Self-Talk" (Negative Acceptance, Recognition and Need to Change, Decision to Change, The Better You, and Universal Affirmation) and offers advice on how to navigate each level for significant life changes.

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Imagine you are working as an insurance broker, and a company comes to you wanting to insure one of its production factories. Identify at least two distinct risks you would analyze as you decide what kind of coverage and premiums this client can expect to pay in order to be fairly and sufficiently insured.
30 POINTS IF YOU KNOW THE ANSWER ASAP!!!!!!
EXPLAIN REASONING

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The client should pay an amount based on the company and how many they had to pay in the past. Making it fair and expecting what could happen, so the client can be insured. I hope that makes sense.

The client should pay a sum determined by the business and how much they have previously been required to pay. Making it fair and anticipating potential outcomes will enable the client to obtain insurance. I think you get the picture.

What is the insurance?

Insurance is a tool for risk management. You purchase protection against unforeseen financial losses when you purchase insurance. If something unpleasant happens to you, the insurance company pays you or someone else of your choosing. If an accident occurs and you don't have insurance, you can be liable for all associated expenses.

Risk analysis comes in two primary flavors: qualitative and quantitative. Let's find out more about these two methods. working as an insurance broker, and a company comes to you wanting to insure one of its production factories

Therefore, By the company comes to you wanting to insure one of its production factories. qualitative risk is there

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Individual restaurant operators have an advantage over chain operators because...Answer : 1.they can purchase all their items cheaper than chain operators. 2. independent operators can find investors with more money. 3.they can provide more choices. 4.their presence on the job can make the difference.

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Out of the options provided, the statement "4. their presence on the job can make the difference" is the most accurate in highlighting an advantage that individual restaurant operators have over chain operators.

Individual restaurant operators are often the owners or managers who are directly involved in the day-to-day operations of the restaurant. Their presence on-site allows them to have a more hands-on approach in managing the restaurant, interacting with customers, and making important decisions in real-time.

This personal touch and direct involvement can have a significant impact on the overall customer experience and the success of the restaurant.

Unlike chain operators, individual operators can quickly adapt to changing circumstances, address customer concerns, and implement improvements based on immediate feedback.

They can provide a more personalized and unique experience that reflects their individual vision and passion for the business. This personal touch can create a sense of authenticity, establish stronger customer relationships, and differentiate them from chain operators that often follow standardized processes.

While the other options listed (purchasing items cheaper, finding investors with more money, and providing more choices) may apply in certain cases, they are not inherent advantages of individual restaurant operators over chain operators.

The ability to purchase items cheaper, attract investors, or offer a wide range of choices can also depend on various factors such as the scale, resources, and negotiation skills of the individual operator or the chain operator.

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3. ______ are defined as goods or services that are required for health and safety.

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Occupational Health and Safety are defined as goods or services that are required for health and safety. Information standards are guidelines governing the information that must be provided to consumers when they purchase specific goods.

What is the safety of goods?

A safe product is one that delivers either no risk or a minimum tolerable level of risk, taking into account the product's typical or reasonably foreseeable use and the need to maintain a high level of consumer protection.

Occupational health and safety is a multidisciplinary discipline that deals with all elements of workplace health and safety, with a heavy emphasis on preventing workplace dangers.

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Select the correct answer.
Which equation is the correct fundamental accounting equation?
OA owner's equity = liabilities -assets
OB.
assets liabilities - owner's equity
=
OC. assets = liabilities + owner's equity
O D.
assets + liabilities = owner's equity

Answers

Answer:

Assets=liabilities+owner's equity

The cover letter should _____.
a.
be a minimum of two pages in length
b.
never ask for an interview
c.
introduce you to an employer
d.
include your family history

Answers

Answer:

C, introduce you to an employer

Explanation:

an introduction is needed before looking into any sort of info [for a better understanding, an example would be how you have your name on the cover of your notebook before looking into your actual notes.]

Answer:

C

Explanation:

which of the following challenges facing hr is related to technology becoming more prevalent in many previously unskilled environments? a. shifts in industries/retraining b. baby boomer retirements c. decreased employee loyalty d. differing benefits preferences

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A. Shifts in industries/retraining is the challenge related to technology becoming more prevalent in many previously unskilled environments.

As technology advances, many unskilled jobs are becoming automated, so employees must be retrained in order to remain employable. This can be a daunting and expensive task for employers, as it may require significant investments in employee training and development for certain industries. Additionally, some employers may have difficulty finding qualified workers to replace those who are retiring or being made redundant due to automation.

This creates a wide range of challenges for human resources departments. They must decide how to best allocate resources towards retraining, and find the most cost effective ways to do so. Companies may need to consider new sources of labour, such as contract workers or offshore staff, in order to remain competitive and meet staffing requirements. Additionally, they must ensure compliance with relevant legislation and regulations, while providing a safe and equitable working environment. Furthermore, they must also consider how to ensure that their retraining initiatives are both effective and cost-efficient. HR departments will also need to ensure a smooth transition for those employees who are being retrained, as well as for those who are entering the workforce for the first time.

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The difficulty associated with technology becoming more prevalent in many previously unskilled environments is shifting in industries and retraining. In this case, option A is correct

Many low-skilled jobs are becoming automated as a result of technological advancements, so workers must retrain in order to stay employable. Due to the potential need for significant investments in employee training and development for some industries, this can be a challenging and costly task for employers. Additionally, some employers might have trouble replacing those who are retiring or losing their jobs as a result of automation with qualified workers.For human resources departments, this poses a variety of difficulties. They must choose how to best allocate funds for retraining and identify the most economical strategies for doing so. Companies might need to think about new labor sources.

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craigmont company's direct materials costs are $3,500,000, its direct labor costs total $7,450,000, and its factory overhead costs total $5,450,000. its prime costs total:

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Craigmont Company's prime costs total $10,950,000.

Prime costs refer to the sum of direct materials and direct labor costs. Prime costs do not include the factory overhead costs that are incurred during the production process.

In this context, Craigmont Company's direct materials costs are $3,500,000, its direct labor costs total $7,450,000, and its factory overhead costs total $5,450,000.

Its prime costs, therefore, total:

Prime cost = Direct materials cost + Direct labor cost

Prime cost = $3,500,000 + $7,450,000

Prime cost = $10,950,000

Therefore, the prime costs of Craigmont Company are $10,950,000.

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A broker is concerned about the potential for litigation as a result of actions his licensees may take. He's implementing a risk management plan to reduce the level of risk his firm faces. What's the first step he should take

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A broker first step should take, to identify the risk.

What is risk management?

The process of discovering, evaluating, and controlling risks to an organization's resources and profits is known as risk management.

The risk management process is made up of five fundamental processes that are used to control risk. It starts with identify the risk, analyze the risk, prioritize the risk, treat the risk, monitor the risk.

Hence, the significance of the risk management is aforementioned.

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Why occupation is important

And give me example ​

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Answer:

Every profession is important in its own way. There are many things which we can't do and if someone is doing that for us then respect should automatically come for that profession and for that person. Every profession deserves respect because every one of those people are contributing to the society.

Which of the following describes a food retailer?


uses products from farmers and ranchers, commodity processors, and food manufacturers to offer food to their customers

supports the farmers and ranchers with feed and seed

transports the farmers’ and ranchers’ products and the processed and manufactured food products throughout the system

buys the processors’ products to make prepared food

Answers

Answer:

transports the farmers and ranchers

Answer:

B

Explanation:

Does assessment active mean I passed?

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You passed the employee assessment test for Walmart if your assessment is current on one of their applications. You have two years after passing the exam to take it again.

What is an assessment test?An exam or test is a form of educational assessment used to rate a test-understanding taker's of a variety of subjects as well as their aptitude, physical fitness, and knowledge of those subjects. In the form of multiple-choice, true-or-false, or short-answer questions from standardized tests, they are frequently available. Tests that measure verbal, mathematical, and logical reasoning skills and thinking are called general aptitude tests and IQ tests. A career test, personality test, and IQ test are all commonplace in assessments, as is the inclusion of a personality test. The aptitude exams follow. In contrast to assessments of your personality or IQ, these tests are primarily concerned with your abilities. Absolutely, you can still land the job.

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investment insurance business studies

Answers

Answer:

that does not make sense

Explanation:

that does not make sense

Answer:

An investment insurance, also known as universal life insurance, provided financial security as well as fiscal growth to the investor. It has two main features: an investment, and an insurance plan.

Explanation:

Investment insurance plans are a two-in-one insurance policy. You not only get a safety blanket, but also a profitable return on your investment. Under this type of insurance plan, when you pay your insurance premium, a part of it gets invested after a certain time period.

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Can people boost their points on their questions?

Answers

Answer:

Yes.

Explanation:

Yes but I’m not sure how

What "Super Union" had taken on railroad companies and factories to improve the conditions for workers?

( 1 )
Knights of Labor

( 2 )
International Workers of the World (IWW)

( 3 )
American Federation of Labor (AFL)

( 4 )
American Railway Union (ARU)

Answers

Explanation:

4th one is the answer

American Railway Union (ARU)

Discuss whether or not a firm will benefit from an incr ease in its output.

Answers

Benefit : economies of scale
Explanation: if a firm manages to grow their level of output and reduce their cost of production at the same time they may benefit from economies of scale such as purchasing economies of scale or financial economies of scale , therefore they would be able to reinvest the increased profit into their business and develop new products which will help them have a wider customer base by reaching different segments of the market.

1. Which of the following are tasks associated with business administration positions? (2 poi
Select the two that apply.
answering phones
designing goods for production
delivering goods to market
maintaining records
repairing computers

Answers

Answer:It's A

Explanation: Took the test

suppose you bought a stock for $19.84 one year ago. today the stock is currently priced at $18.45. the stock recently paid a $3.50 dividend, what is the percentage return for this stock?

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The percentage return for this stock would be -7.6%. We calculate this by subtracting the current stock price from the purchase price (19.84 - 18.45 = 1.39), then subtracting the dividend from that figure (1.39 - 3.50 = -2.11).

What is stock?

Stock is a type of financial asset that represents ownership in a company. It is a claim on the company’s assets and earnings. When a company issues stock, it is essentially giving investors a portion of ownership in the company. Stock investors are also known as shareholders as they hold a share of the company. Stock can be bought and sold on stock exchanges, such as the New York Stock Exchange (NYSE) or the London Stock Exchange (LSE). The price of the stock is determined by the demand for the stock and the supply of the stock. When investors purchase stock, they can receive dividends, which are a portion of the company’s profits.

Finally, we divide that number by the original purchase price ( -2.11 / 19.84 = -0.1063 or -7.6%).

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Daniel Electric is planning to open a distribution center. The center will cost $500,000. 0. The company can finance 96% of the project with 8. 2%, $10,000. 00 bonds. The remaining capital will come from internal sources. Complete the form to evaluate the effect of financial leverage on the proposed center. Evaluate the earnings potential of the project assuming that operating income will increase by 7. 6%, 7. 8%, or 8. 0% of the center cost.


Under which possible outcome should Daniel Electric open the distribution center? Check all that apply.


8. 0%

7. 8%

7. 6%

Answers

Daniel Electric should open the distribution center at 7. 6%.

What is financial leverage?

Leverage in finance refers to any strategy that involves borrowing money to make purchases with the expectation that future earnings will be significantly greater than the cost of borrowing. When you borrow money to make an investment with the aim of higher returns, you are using financial leverage. It's based on the notion that you have to spend money to make money. Purchasing a home, making an investment in a business, or purchasing an investment property are examples of financial leverage. To raise the return on equity, leverage is used. However, using too much financial leverage makes it harder to pay off debt, which raises the chance of failing.

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assume that a nation's real gross domestic product grows st a higher rate thatn its population over a given period fo time. it can be concldued that

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If a nation's real gross domestic product (GDP) grows at a higher rate than its population, it is an indication of economic growth and development. GDP is a measure of the total value of goods and services produced within a country's borders in a given period, usually a year.

It is a crucial indicator of a country's economic performance and is often used to compare the economic output of different countries. When the real GDP grows faster than the population, it means that the economy is producing more goods and services per person. This can lead to an increase in the standard of living for the people in the country. Higher economic growth can create job opportunities and increase household income, which, in turn, can lead to increased consumption, investment, and savings. GDP growth alone does not provide a complete picture of the country's economic well-being. Other factors such as income inequality, poverty rates, environmental sustainability, and social development must also be considered.

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Consider a two-period model of a small open economy with a single good each period. Let preferences of the representative household be described by the utility function In C₁ + In C₂, where C₁ and C₂ denote consumption in periods 1 and 2, respectively. In period 1, the household receives an endowment of Q₁ = 10. In period 2, the household receives profits, denoted by II₂, from the firms it owns. Households and firms have access to financial markets where they can borrow or lend at the interest rate r₁. (r₁ is the interest rate on assets held between periods 1 and 2.) Firms invest in period 1 to be able to produce goods in period 2. The production technology in period 2 is given by Q₂ = 2.4 × (1₁) ² where Q2 and 1₁ denote, respectively, output in period 2 and investment in period 1. Assume that there exists free international capital mobility and that the world interest rate, r*, is 20% per period (i.e., r* = 0.2). Finally, assume that the economy's initial net foreign asset position is zero (B = 0). Based on the above information, answer the following questions. (1) [15 marks] Find the current account in periods 1 and 2 (CA₁ and CA₂). (2) [15 marks] Now consider an investment surge. Specifically, assume that as a result of a technological improvement, the production technology becomes Q2 = 4.8 x (1₁). Find the current account balance (CA₁ and CA₂).

Answers

The economy is able to borrow more from the rest of the world to finance its higher consumption.

(1) Current Account for period 1 and 2:

C1 = Q1 – C21

C2 = Q2 + r1

B – C1

CA1 = Q1 – C1 = 10 – 10/1.2 = 1.67

CA2 = Q2 + r1

B – C2 = 28.8 – 1.2

(1.2 x 10 – 1.67) = 28.8 – 11.49 = 17.31

We can see that in period 1, the current account (CA1) is 1.67, which means that the economy is a net lender to the rest of the world. This is because the consumption level (10/1.2) is less than the endowment level (10). In period 2, the current account (CA2) is 17.31, which means that the economy is a net borrower from the rest of the world. This is because the consumption level (1.2 x 10 – 1.67) is greater than the profits earned by firms (Q2).

Current Account for period 1 and 2:

C1 = Q1 – C21

C2 = Q2 + r1

B – C2

CA1 = Q1 – C1 = 10 – 10/1.2 = 1.67

CA2 = Q2 + r1

B – C2

= 57.6 – 1.2(1.2 x 10 – 10/1.2)

= 57.6 – 9.6 = 48

We can see that in period 1, the current account (CA1) remains unchanged at 1.67. In period 2, the current account (CA2) increases to 48. This is because the increased profits earned by firms (Q2 = 4.8 x 1_1) are greater than the increase in consumption (10/1.2 – 10/1.44 = 1.67).

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suppose the united states had a short-term shortage of farmers. which market mechanisms would adjust to remove the shortage?

Answers

Food costs would change, as will farmer wages. Price must increase in the event of a scarcity in order to draw in more supply and lower demand until the shortage is resolved.

How can a free market resolve a scarcity?

Through price increases, the free market reduces shortages. Prices that are going up encourage consumers to spend less or, if they can, switch to a different product, which reduces demand.

How might the market address a shortage?

Price reductions should be made until the market finds equilibrium in order to get rid of excess. Price increases for the product are necessary to eliminate shortages until the market reaches equilibrium.

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A model that shows the trade-offs and opportunity costs of producing an additional unit of a good relative to what must be given up in the production of another good.

Answers

Answer:

production possibilities curve (PPC)

Explanation:

The PPC is used to explain the tradeoffs that producers face when having to choose between 2 different alternative products or services. The more they choose of one product, the less they will be able to produce of the other product. Opportunity costs are the associated costs or benefits lost resulting from choosing one activity or investment over another alternative.

revenues for united parcel service (ups) come from the following business segments: 60% from us package delivery operations, 22% from international package delivery, and 18% from non-packaging operations. which best describes the corporate level strategy of ups?

Answers

UPS' corporate level strategy of diversification appears to be a smart move that supports its long-term growth and success.

Based on the information provided, the corporate level strategy of UPS seems to be one of diversification. This is because UPS derives its revenues from three distinct business segments, namely US package delivery operations, international package delivery, and non-packaging operations. By diversifying its revenue streams across multiple business segments, UPS is able to reduce its reliance on any one particular business area. This not only helps UPS to mitigate potential risks associated with any one business segment, but also allows the company to tap into multiple revenue streams and grow its overall business.


Furthermore, this corporate level strategy aligns with UPS' mission to provide reliable and efficient package delivery services to customers globally. By expanding its operations across different regions and offering non-packaging services, UPS is able to reach a wider customer base and strengthen its competitive position in the market. Overall, UPS' corporate level strategy of diversification appears to be a smart move that supports its long-term growth and success.

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Which resource is focused on preparing students for careers and technical work as well as for community leadership?
O BLS
O O*NET
O CTSO
O SBA

Answers

Answer:

The Answer would in-fact be C. O CTSO

Explanation:

O O*NET and O BLS are both companies whom have websites for finding you career of choice.  They don't help you along with these careers after the fact though.  The O SBA is a website to themselves with career improvements being not as big of a prioritized helper.

Hope this helps...

Answer:

The Answer would in-fact be C. O CTSO

Explanation:

six risks in business multi -million bus.. plzzz!!!!!!!!!!!!!????????​

Answers

Health and safety risk. General health and safety risks can be presented in a variety of forms, regardless of whether the workplace is an office or construction site.Reputational risk. Operational risk. Strategic risk.Compliance risk.Financial risk.

I have $3,000 in credit card debt. If I can pay $150.00 a month, how long will it take to pay it off? My current interest rate is 18%. Remember to include your inputs and round 2 decimal points like we did in module 2.

Answers

Answer:

2 years

Explanation:

Rate = rate per period = 18%/12 = 1.5%

PV = 3,000

PMT = 150

Number of a payment period = NPER(Rate, PMT, -PV, FV)

Number of a payment period = NPER(18%/12, 150, -3000)

Number of a payment period = 23.96 months

Time to payoff loan = 23.96/12

Time to payoff loan = 1.99667

Time to payoff loan = 2 years

On a day with a high of 30°C, the café
can expect to have about blank in
beverage sales.

Answers

On a day with a high of 30°C, the café can expect to have about cold in beverage sales.

How can it be explained in detail?

The type of café, where it is located, what day of the week it is, what time of day it is, and other weather variables like humidity, precipitation, and wind can all affect the sales of drinks.

So it seems to reason that on a hot day like this, people would be more likely to buy cool and reviving beverages like iced coffee, iced tea, lemonade, or soft drinks. It Is possible that sales of hot beverages like coffee or hot chocolate may be lower than normal. To draw guests and boost sales, the café can also think about implementing seasonal specials or promotions.

In the end, a number of variables will determine the precise volume of beverage sales on a hot day.

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dexter’s donut shop is able to increase its total revenue from $2000 to $2400 by increasing price from $.50 to $.80. what is the price elasticity of demand for dexter’s donut shop?

Answers

The price elasticity of demand for Dexter's Donut Shop is -1.5, indicating it has an elastic demand.

To calculate the price elasticity of demand for Dexter's Donut Shop, we can use the formula:

Price Elasticity of Demand = (% Change in Quantity Demanded) / (% Change in Price)

Given that the initial total revenue is $2000 and increases to $2400, we can determine the percentage change in quantity demanded as follows:

% Change in Quantity Demanded = ((New Quantity Demanded - Initial Quantity Demanded) / Initial Quantity Demanded) * 100

% Change in Quantity Demanded = ((2400 - 2000) / 2000) * 100

% Change in Quantity Demanded = 20%

Next, we determine the percentage change in price:

% Change in Price = ((New Price - Initial Price) / Initial Price) * 100

% Change in Price = ((0.80 - 0.50) / 0.50) * 100

% Change in Price = 60%

Now, we can calculate the price elasticity of demand:

Price Elasticity of Demand = (% Change in Quantity Demanded) / (% Change in Price)

Price Elasticity of Demand = 20% / 60%

Price Elasticity of Demand = 1/3

Price Elasticity of Demand ≈ -1.5

The price elasticity of demand for Dexter's Donut Shop is approximately -1.5, indicating an elastic demand. This means that a 1% increase in price leads to a 1.5% decrease in the quantity demanded.

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Duo Corporation is evaluating a project with the following cash flows: Year Cash Flow 0 −$ 28,500 1 10,700 2 13,400 3 15,300 4 12,400 5 −8,900 The company uses a discount rate of 11 percent and a reinvestment rate of 8 percent on all of its projects.
a. Calculate the MIRR of the project using the discounting approach. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
b. Calculate the MIRR of the project using the reinvestment approach. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
c. Calculate the MIRR of the project using the combination approach. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Answers

The MIRR using a. discounting approach=16.87%, b. investment approach=16.33% and c. combination approach=16.60%.

a.To calculate the MIRR of the project using the discounting approach, we use the following formula:
MIRR = [(FV/PV)^(1/n) - 1] x 100,

where FV is the future value, PV is the present value, and n is the number of periods.
Using the given information,

we have FV = 574.81, PV = -28,500, and n = 5.

Therefore, MIRR = [(574.81/-28,500)^(1/5) - 1] x 100 = 16.87%.

b. The MIRR of the project using the reinvestment approach is 16.33%.

To calculate the MIRR of the project using the reinvestment approach, we use the following formula:
MIRR = [(FV/PV)^(1/n) - 1] x 100,

where FV is the future value, PV is the present value, and n is the number of periods.
Using the given information,

we have FV = 545.37, PV = -28,500, and n = 5.

Therefore, MIRR = [(545.37/-28,500)^(1/5) - 1] x 100 = 16.33%.

c. The MIRR of the project using the combination approach is 16.60%.

To calculate the MIRR of the project using the combination approach, we use the following formula:
MIRR = [(FV/PV)^(1/n) - 1] x 100,

where FV is the future value, PV is the present value, and n is the number of periods.
Using the given information,

we have FV = 560.09, PV = -28,500, and n = 5.

Therefore, MIRR = [(560.09/-28,500)^(1/5) - 1] x 100 = 16.60%.

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