Acme Company manufactures various types of widgets, and its factories currently have no excess capacity. If any capacity did free up, Acme has profitable uses for the freed-up capacity. Consequently, Acme incurs an opportunity cost with respect to the component parts that it manufactures in-house and the special sales orders that it accepts. This opportunity cost: 

Acme Company makes all its inventory sales and inventory purchases on account, and all of Acme’s accounts payable relate to inventory purchases. During the current year, sales revenues are $790,500, cost of goods sold is $605,700, the accounts receivable balance decreases $36,000, the inventory balance increases $28,000, and the accounts payable balance decreases $19,450. What amount of cash did Acme pay to its suppliers of inventory during the year?

Acme Company is evaluating a project that requires an initial investment of $95,610 and is expected to generate annual net cash inflows of $20,000 per year for 6 years. The salvage value of the project is uncertain. Acme uses a discount rate of 8% to make capital budgeting decisions. What is the minimum amount of salvage value that would make this project acceptable?

Acme Company is a wholesaler that makes all inventory sales and inventory purchases on account. All of Acme’s accounts payable relate to inventory purchases. During the current month, Acme collects $135,000 of cash from its customers and its accounts receivable balance increases by $4,000. Acme also pays $109,000 of cash to its suppliers of inventory and its accounts payable balance increases by $7,500. Acme’s merchandise inventory balance does not increase or decrease during the month. What is Acme’s gross margin? Round to the nearest whole dollar amount and do not enter a dollar sign or a decimal point (e.g., enter 89, not $89.00).

Perch, ver A

Netflix offered to buy Blockbuster’s digital subscribers for $1b.

What is the strategy of building new facilities to meet the demand for prison space?

What is the strategy of doing nothing to relieve crowding in prisons, under the assumption that the problems temporary and will disappear in time?

Which strategy recommends reserving prison space for violent offenders that have not been deterred by other sanctions?

Texas increased its prison number by 700% between 1979 & 2000.