ACCOUNTING AND FINANCIAL ENGINEERING - EXAMPLE 34.30 : A biochemical engineering sales contract adopts Cost Recovery Method in its company accounting. Gross profit is realised only when cash collections exceed the total cost of goods sold. Let Y = Original Cost Recovered, Z = Gross Profit Realised. Its property was sold at A = $500k with cost of B = $300k. Its engineering accountant receives cash of C = $240k in first year, D = $180k in second year and E in third year. (a) Find the values of Y and Z in : (i) first year; (ii) second year; (iii) third year. (b) What is the exact value of E if all cash has been fully received from sales?
ACCOUNTING AND FINANCIAL ENGINEERING - ANSWER 34.30 : (a)(i) First year : Y = C = $240k, Z = 0 (since C < B). (ii) Second year : Y = B - C = $300k - $240k = $60k, Z = C + D - B = $240k + $180k - $300k = $120k [ since (C + D) > B ]. (iii) Third year : Y = 0, Z = E. (b) E = A - C - D = $500k - $240k - $180k = $80k. The answer is given by Kang Chuen Tat; PO Box 6263, Dandenong, Victoria VIC 3175, Australia; SMS +61405421706; chuentat@hotmail.com; http://kangchuentat.wordpress.com.
Is This Answer Correct ? | 0 Yes | 0 No |
colour of flame is blue as well red. why?
Dear guys we adding hypo at climax plant and that water is inlet to DM plant so with hypo water that can affect my resins of cation and anion. if it is affect life of my anion and cation so what kind of steps should be take.
0 Answers Hindustan Unilever Limited,
how to convert Nm3/hr to Kg/hr for air, @ 10.4 kg/cm2.g dischare pressure, does density doesn't affect on calculation?
What are flameless oxidizers?
Question 110 - When an algebraic product is defined on the space, the Lie bracket is the commutator [x,y] = xy - yx according to Lie algebra in mathematics. If [p,x] f(x) = px f(x) - xp f(x), p = -ih d / dx, find the value of [p,x] in term of i and h.
At what temperature is glass fused to steel in the making of glass-lined equipment?
While there, are many tests available to detect leaks on vessels, is there a technology available to quantify the leak, or measure the flow through a leak?
What is the ignition temp. of Alluminium,Coper&Iron.
What are the advantages and disadvantages of using gear pumps?
What are the apt definitions for apparent power, active power and reactive power?
ACCOUNTING AND FINANCIAL ENGINEERING - EXAMPLE 34.27 : A biochemical engineering consultancy applies construction accounting in its finance. Its project began on 1 January 2010. Total revenue generated from the project was $9000. On 1 January 2011 as the budget, $2000 had been spent, with $6000 expected. However, the project cost increased latter, causing deviation from its initial budget on 1 January 2012, where $7000 had been spent, with $1400 expected. Let (estimated total cost) = (spent cost) + (expected cost to be spent), (percentage completion) = 100 (spent cost) / (estimated total costs), (total expected profits) = (total revenue) - (estimated total costs). Calculate : (a) total expected profits on 1 January 2011 and 1 January 2012; (b) estimated total cost as and not as the budget; (c) percentage completion of the project since the project began, in the first and second years.
white rust formation over zinc plated and yellow passivated fasteners during CED painting. WHY?