[shuchee38]

ohh!! I got it!! Thank you sir!!

[shuchee38]

The cost is 15% higher than what the company currently pays, so why not 15/100 x 4000=600?

[shuchee38]

Anfield Company has moved to a new premise. Rental is paid in advance and the new rental of $4,000 will be payable yearly in advance. The cost is 15% higher than what the company currently pays and the company plans to be in the premise for four years. The cost of capital is 10%.
What is the present value of the cash outflows relating to incremental rental for the length of the rental period?

The correct answer is 1819
(The question above is from my school mock exam,they didnt provide explanation,so kindly assist me.) thank you!

[shuchee38]

Ok?Thank you sir?

[shuchee38]

But how do I know the process is 50% completed?

[shuchee38]

the following information is available for a production process for the last period :
materials input 200kg at $4 per kg
labour input 100 hours at $15 per hour
Department overhead $1000
Transfer to finished goods 150 kg
Normal loss is 10% of input. Losses are identified when the process is 50% complete.
There is no opening or closing Work in progress.

what is the total cost of completed units?

A. $22
B. $20.48
C. $19.59
D.$18.33

I didnt get what does the question
means about losses are identified when the process is 50% complete? And answer behind didnt explain it…. pls hlp me sir

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