Total annual cost formula
[DOC File]Problem 1:
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Total annual costs* $4,650 $900 ---Lifetime of the car 3 years 5 years 18 years * Includes all after-tax costs like fuel, wear and tear, maintenance, etc. Using the Equivalent Annual Cost (EAC) method, which of the cars should you decide to drive always? ANSWER: First find the relevant cash flows associated with each purchase option:
[DOC File]gar003, Chapter 3 Systems Design: Job-Order Costing
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Fixed cost element = Total cost - Variable cost element = $5,200 - ($88.89 per wedding × 20 weddings) = $3,422. Cost formula: $3,422 fixed cost per month plus $88.89 per wedding, or . Y = $3,422 + $88.89X. 263. The management of Buff Sports Stadium believes that the number of sporting events each month is a measure of activity for total clean ...
[DOC File]California State University, Northridge
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The annual operating and maintenance costs are 1% of the initial costs of $330 per year and there are no fuel costs. Thus the total annual cost with a 15% return is $5,602 per year. The annual electricity cost is $5,602/(4400 kWh) = $1.27/kWh. For a return rate of 3%, the annual capital charge is found as follows. Adding the $330/year operating ...
[DOC File]INVENTORY MANAGEMENT
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(d) Compute the total cost of ordering and carrying flour. (e) If annual cost were to increase by $1 per order, how much would that affect. the minimum total cost? Problem 11 (605) A company is about to begin production of a new product. The manager of the. department that will produce one of the components for the product wants to know
[DOC File]BACT Analysis Application Instructions
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The Total Annual Cost Subtotal is the sum of the direct and indirect annual cost subtotals in items 1 and 2, minus the recovery credits from item 3. Transfer this result to Table H, item 2. TOTAL ANNUALIZED COST SUMMARY. Use Table H to sum the annualized costs associated with the BACT option. Use Table I to quantify the average cost ...
[DOC File]BUDGETING - CPA Diary
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10. Tropical Manufacturing Corporation is using the following flexible-budget formula for annual indirect labor cost: Total cost = P12,000 + P0.75 per machine hour. For the month of June, the operating budgets are based upon 10,000 hours of planned machine time. Indirect labor costs included in this planning budget are . a. P7,500 b. P8,500 c ...
[DOC File]6 - UNB
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(b) The total annual inventory cost is determined by substituting Q opt into the total cost formula: (c)The number of orders per year is computed as follows: Given that the store is open 311 days annually (365 days minus 52 Sundays, Thanksgiving, and Christmas), the order cycle is
[DOCX File]White paper, describing the major components of the ...
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Summary of how the formula works. ... The total statewide foundation budget increased from $11.359 billion in FY20 to $11.627 billion in FY21, growing by $267 million or 2.4 percent. A . ... Association for Education Finance and Policy Annual Conference. Retrieved from .
[DOC File]Chapter 7: Net Present Value and Capital Budgeting
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To compute the annual depreciation expense, determine the total initial cost of the two assets ($144,000 + $36,000 = $180,000) and divide this amount by 15, the economic life of each of the 2 assets. Annual depreciation expense for building modifications and equipment equals $12,000 (= …
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