Anita is conducting a country market assessment and is focusing on four key elements: distribution channels, transportation systems, communication systems, and commerce. In doing so, Anita is evaluating which component of the market assessment?

The compound amount recieved by Jamie after 180 days is $1,466,844.98

Explanation:

We know that money in any sort of banking account earns interests in a compounding manner.

Amount at the end of time “x” is given by A= P(1+R/100) ˣ

Where A= amount after the said time period

P= Principal

R= Rate  

x= time period

One must note that “x” and “R” must be in same time-frame i.e. if the rate is compounded daily, time period must be considered daily and so on.

Substituting the values of P as $ 3000, R as 3.5%, and x as 180

Amount after 180 days= 3000 (1+3.5/100) ¹⁸⁰

Amount= $1,466,844.98

Thus, the amount is $1,466,844.98

Answer:

b. 663,000

Explanation:

Outstanding shares refers to the total number of stock held by investors at a  particular time. They are the shares issued out to both retail and institutional investors and insiders, such as directors and employees. Outstanding shares will exclude shares that have been repurchased back by the issuing company (treasury stock).

The weighted average share outstanding takes into consideration the duration of time that issued stocks have been in the markets.  It allocates value proportionately to the time in the market.

For Millo Co,  the weighted average share outstanding  for the year will be

1. January 1,  600,000

2. May 1, issued 126,000 shares ( 8 months)

  weighted for the year=8/12 x 126,000 =   84,000

3. September 1, purchased  63,000 treasury stock

       (4 months) weighted value will be

      = 4/12 x 63,000= 21,000

The weighted average share outstanding  

Beginning balance plus shares issued out minus repurchased shares(treasury stock)

=600,000 + 84,000 -21,000

=663,000

To calculate the weighted average shares outstanding for the year, we need to determine the total number of shares outstanding at each point in time and weight them by the number of days they were outstanding. After performing the calculations, the weighted average shares outstanding for the year is approximately 299,180.33.

To find the weighted average shares outstanding, we need to calculate the total number of shares outstanding at each point in time and weight them by the number of days they were outstanding.

On January 1, Milo Co. had 600,000 shares outstanding for the full year.

On May 1, Milo issued 126,000 shares, which were outstanding for 245 days (from May 1 to December 31).

On September 1, Milo purchased 63,000 shares of treasury stock, which were outstanding for 122 days (from September 1 to December 31).

So, the weighted average shares outstanding for the year is calculated as follows:

Therefore, the weighted average shares outstanding for the year is approximately 299,180.33.

Answer:

Yeast is a basic ingredient which causes the bread to rise.

Answer: 1. Flour is the third ingredient.

2. Carbon dioxide and Ethanol

are by-products that also

cause rising.

Explanation:

Bread rises in a process known as Fermentation. Fermentation is the process in which microorganisms such as yeast help to break down molecules like sugar in an anaerobic process, eventually giving off a gas and alcohol.

Ingredients required include; yeast, water, and flour. The mixture of yeast and water react with the sugar present in the flour to cause rising. Carbon dioxide and ethanol are then produced.

The gluten (which Is produced when flour proteins mix with water) in the dough mixture reacts with the carbon dioxide gas, making it hard for the gas to be emitted. This process causes rising.

As ethanol is given off and evaporating from the mixture, rising also occurs.

Answer:

The operation performance of a business cannot be evaluated through only the revenue it generates as it does not the money that the businessman earns. To simplify it, when starting business, the founder has to invest on the business an amount of money, which is the expense for business establishment and operation. After operating, the business generates the revenue. However, the true earning is only equal to the profit (profit = expense - revenue).

So in the situation of the business owner given, the reason he cannot keep the doors open is because the expense on operating business of him is greater than the revenue ($2000), which makes the profit less 0. So that he cannot actually earn more money but just lose if he continues investing more.

Answer:

Explanation:

journal entry will Jenson use to correct the error

Date       Account Titles And Explanation          Debit           Credit

                                     Computer                                $400,000  

              Accumulated depreciation ($100,000 × 2 years)     $200,000

       Retained earnings ($400,000 - $200,000)                       $200,000

Annual depreciation = (Cost - Salvage Value) / 4

                               = ($400,000 - 0) / 4

                               = $100,000

To correct the error, Jenson Technologies will need to debit the accumulated depreciation account for $400,000 and credit the expense account for the same amount. The journal entry will be as follows:

Dr. Accumulated Depreciation - Computer: $400,000

Cr. Depreciation Expense: $400,000

The computer was incorrectly expensed in full when it was purchased, rather than being capitalized and depreciated over its useful life. Since the computer has a useful life of four years with no residual value, the annual depreciation expense would be calculated as follows:

Cost of the computer / Useful life = $400,000 / 4 years = $100,000 per year

By the end of 2018, two years would have passed since the purchase of the computer, so the total depreciation expense for two years would be:

$100,000 per year * 2 years = $200,000

However, since the entire cost was expensed in 2016, there is no need to record the depreciation expense for 2017 and 2018. Instead, the correction involves reversing the incorrect expense and recognizing the accumulated depreciation that should have been recorded.

The accumulated depreciation account is a contra-asset account that represents the total amount of depreciation expense that has been recorded over the life of the asset. By the end of the asset's useful life, the accumulated depreciation should equal the asset's cost, assuming it has no residual value.

To correct the error, Jenson Technologies needs to adjust the accounts to reflect the proper treatment of the computer as a depreciable asset. The company will debit the accumulated depreciation account for the full cost of the computer ($400,000), which effectively removes the incorrect expense from the income statement and capitalizes the computer on the balance sheet. The credit will go to the expense account that was incorrectly debited, restoring its balance.

This correction does not affect the depreciation expense that would have been recorded in the normal course of business, as the asset should have been depreciated over its useful life. The correction simply rectifies the initial error in the accounting treatment of the computer's cost."

Answer:

influence consideration

Explanation:

Influence consideration is a marketing objective that is targeted toward a group of potential customers who already aware of your product, but still not sure whether your product is better than your competitor's. So they're pretty much weighing their options.

In the example above, The target is the users who are researching scuba-diving lessons. The interest for the product is already exist. In order to attract the attention toward his business, Frank need to create a campaign that offer more value compared to the competitors. (probably can be done by giving a couple of preview about what the lesson would look like or offering money back guarantee)

The cost of preferred stock for Bosio Inc. to use in the WACC calculations is determined based on the annual dividend paid and the net price obtained after accounting for flotation costs, which work out to about 8.63%.

Bosio Inc.'s cost of preferred stock for use in calculating the weighted average cost of capital (WACC) can be determined by considering the annual dividend and the net price it will receive after flotation costs. As the stock price paid by investors is $102.50 per share and the flotation cost is 4.00%, the net price Bosio Inc. will receive is $102.50* (1-0.04) = $98.40. The company pays an annual dividend of $8.50. Thus, the cost of preferred stock or the requisite rate of return for the investors is the annual dividend divided by the net proceeds from the sale of the stock, i.e., $8.50/$98.40 = 0.0863 or 8.63%.

This figure is used in the calculation of the WACC to reflect the cost of financing from issuing preferred stock. Keep in mind that this is a simplified scenario and in real life, the calculation might need to take into account more complex factors, such as tax adjustments, the growth rate of dividends, or changes in stock prices over time.

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Bosio Inc.'s cost of preferred stock for WACC calculation is approximately 8.64%, taking into account a $102.50 share price, $8.50 annual dividend, and 4.00% flotation cost.

Bosio Inc.'s perpetual preferred stock sells for $102.50 per share and pays an $8.50 annual dividend. If the company sells a new preferred issue, it incurs a flotation cost of 4.00%. To calculate the cost of preferred stock for WACC, use the formula:

Cost of Preferred Stock = Dividend / (Price * (1 - Flotation Cost))

Given the details:

The calculation is:

Cost of Preferred Stock = $8.50 / ($102.50 * (1 - 0.04)) = $8.50 / $98.40 ≈ 0.0864 or 8.64%

Therefore, the company's cost of preferred stock for use in calculating the WACC is approximately 8.64%.

Complete Question:

Refer to the HR Report section of the Inquirer. Baldwin will continue to keep their current hourly levels of training in order to help reduce turnover and improve productivity next year. How much must be spent per employee on an hourly basis to maintain the current training commitment?

The photo of the table is attached as under:

Select: 1

$8,786

$18

$20

$30

Answer:

$20

Explanation:

We can find the training cost per employee per hour by using the following formula:

Training cost per employee per hour =  Training Cost / Complement Training Hours

Here

Complement Training Hours = Number of Compliments * Number of hours

Total training hours = 80 Hours

Number of complements = 579

By putting values in the complement training hours formula, we have:

Complement Training Hours = 579 * 80 =  46,320 Hours

Total cost of training per employee Chester ($927 Given in thousands)

= $927,000

By putting the values, we have:

Training cost per employee per hour = $927,000 / 46,320 = $20.01 or $20

Option C is correct here.

The hourly training cost depends on the total training expenses and the number of employees.

To determine how much must be spent per employee on an hourly basis to maintain the current training commitment, we need more specific information about the training expenses and the number of employees. The hourly training cost can be calculated by dividing the total training expenses by the number of employees. For example, if the total training expenses are $10,000 and there are 100 employees, the hourly training cost would be $100 per employee ($10,000 / 100 = $100). It's important to note that this is just a hypothetical example and the actual numbers may vary depending on the specific data given in the HR report section of the inquirer.

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Answer:

Not purchase insurance

Explanation:

The probability of rain is 0.20

=> The probability of the not rain situation is: 1 - 0.2 = 0.8

If David does not buy the insurance, the expected net profit he would receive can be calculated as following:

Expected net profit = Probability of rain x Net profit when its rains + Probability of not rain x Net profit when it does not rain

= 0.20 x 40,000 + 0.8 x 100,000 = $88,000

If David buy the insurance:

+) When it does not rain: He will receive net profit of $100,000

+) When it rains: He will receive $40,000 as profit and $100,000 as insurance coverage

So that:

Expected net profit = Probability of rain x Net profit when its rains + Probability of not rain x Net profit when it does not rain - Insurance fee

= 0.2 x (40,000 + 100,000) + 0.8 x 100,000 - 25,000 = $83,000

As we can see, the expected net profit David receives when buying insurance is less than when he does not buy, so that he should not buy the insurance.

Final answer:

David's wiser choice, based on the expected values, would be not to purchase the insurance as his expected profit without insurance is $88,000, which is higher than the expected profit of $83,000 with insurance.

Explanation:

The question poses a scenario involving expected value calculation to determine the best financial decision for an outdoor concert promoter named David. We are to evaluate whether purchasing insurance for an outdoor concert, given a certain probability of rain, is a wise choice based on expected values.

If David does not purchase insurance, his expected profit would be:

(0.80)($100,000) + (0.20)($40,000) = $80,000 + $8,000 = $88,000.

If David does purchase the insurance for $25,000, his expected profit would be:

(0.80)($100,000 - $25,000) + (0.20)($140,000 - $25,000) = $60,000 + $23,000 = $83,000.

By comparing the two expected values, the higher expected profit is without purchasing the insurance, which is $88,000 versus $83,000 with insurance.

Answer:

for Mike: 0.2 tables,for Sandy: 1/3 tables

Explanation:

To calculate the opportunity cost, we can simply divide the cost of what is given up by what is gained.

=> The opportunity cost for chair can be calculated by dividing the total numbers of table made in 1 month by the numbers of chairs made in 1 month.

Answer:

$71,000

Explanation:

The computation of operating income is shown below:-

Total costs if company bought = Cost of production × Outside supplier per unit) + (Fixed cost × Remaining percentage)

= (43,000 × $3.80) + ($68,000 × (100% - 30%))

= (43,000 × $3.80) + ($68,000 × 70%)

= $163,400 + $47,600

= $211,000

Loss in Income if part is bought = Total costs if company bought - Total costs originally

= $211,000 - $140,000

= $71,000

Therefore, Making profit will be more by $71,000 and for computing the Loss in Income if part is bought we simply applied the above formula.

Blue Ridge Bicycles' operating income, if it makes the part instead of buying it, will be [tex]\( {\$23,200} \)[/tex].

To determine whether Blue Ridge Bicycles should make or buy the part, let's calculate the operating income for each scenario.

Given data for making the part:

- Total production cost for 43,000 parts: $140,000

 - Fixed costs: $68,000

 - Variable costs: $72,000

Step 1: Calculate the variable cost per part:

[tex]\[ \text{Variable cost per part} = \frac{\text{Variable costs}}{\text{Number of parts}} = \frac{72,000}{43,000} = $1.6744 \][/tex]

Step 2: Calculate the total cost per part:

[tex]\[ \text{Total cost per part} = \frac{\text{Total production cost}}{\text{Number of parts}} = \frac{140,000}{43,000} = $3.2558 \][/tex]

Step 3: Calculate the total cost if Blue Ridge Bicycles makes the part:

[tex]\[ \text{Total cost (making)} = \text{Fixed costs} + \text{Variable costs} = 68,000 + 72,000 = $140,000 \][/tex]

Given data for buying the part:

- Cost to buy from outside supplier: $3.80 per unit

- Avoid 30% of fixed costs if buying

Step 4: Calculate the avoided fixed costs if buying:

[tex]\[ \text{Avoided fixed costs} = 30\% \times 68,000 = $20,400 \][/tex]

Step 5: Calculate the total cost if Blue Ridge Bicycles buys the part:

[tex]\[ \text{Total cost (buying)} = \text{Cost to buy} \times \text{Number of parts} + \text{Avoided fixed costs} \][/tex]

[tex]\[ \text{Total cost (buying)} = 3.80 \times 43,000 + 20,400 = $163,200 \][/tex]

Comparison and Decision:

Total cost if Blue Ridge Bicycles makes the part: $140,000

Total cost if Blue Ridge Bicycles buys the part:$163,200

Since making the part results in a lower total cost compared to buying the part ($140,000 < $163,200), Blue Ridge Bicycles should choose to make the part.

Operating Income Calculation:

To find the operating income when Blue Ridge Bicycles makes the part:

[tex]\[ \text{Operating Income (making)} = \text{Sales} - \text{Total Cost (making)} \][/tex]

Assuming sales revenue is not provided in the problem, we can calculate the difference in costs:

[tex]\[ \text{Operating Income (making)} = \text{Total Cost (buying)} - \text{Total Cost (making)} \][/tex]

[tex]\[ \text{Operating Income (making)} = $163,200 - $140,000 \][/tex]

[tex]\[ \text{Operating Income (making)} = $23,200 \][/tex]

Answer:

when a business man or woman regrets the decision they have made that could have impacted their business

Answer:

loss of $200

Explanation:

As given, there are three cases can happen:

1) 0.20 probability that the stock will show a $3000 profit

=> 0.20 probability that profit = $3,000

2) 0.10 probability that the stock will show a $6000 profit

=> 0.10 probability that profit = $6,000

3) 0.70 probability that the stock will show a $2000 loss

=> 0.70 probability that profit = - $2,000

The expected profit in the stock at the end of the year can be calculated as following:

Expected profit = Probability case 1 x Profit case 1 + Probability case 2 x Profit case 2 + Probability case 3 x Profit case 3

=0.2 x 3,000 + 0.1 x 6,000 + 0.7 x (-2,000)

=. 600 + 600 -1,400 = -200

So that, the expected profit in the stock is the loss of $200

Answer:

E. If low volumes increase costs

Explanation:

Outsourcing which also implies subcontract is a practice that involves having certain job functions done outside a company instead of being handled by an in-house department or employee. It is a business practice in which in-house services or job functions are given in form of contract to third party company. Some outsourcing activities include: human resource management, accounting, customer support and service, marketing etc.

Outsourcing could be considered by a company due to various reasons, but not because low volumes increase costs. This would not be a benefit to the company.

The typical reasons to Buy or Outsource are discussed, and the correct option that does not fit is identified.

The subject of this question is Business and the grade level is College. The question is asking for typical reasons to Buy or Outsource, except for one option. Let's go through each option to determine which one is not a typical reason to Buy or Outsource.

So, the correct answer is

D. To maintain strategic flexibility.

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Answer: decrease

Explanation:

The money multiplier is the amount of money generated by banks with each dollar of reserves. The reserves is the amount of deposits which the Federal Reserve wants banks not to lend but rather hold. The money multiplier is therefore the ratio of deposits to the reserves in the banking system.

The money multiplier shows the ratio of the increase or decrease in money supply in relation to the increase or decrease in deposits. During the Christmas period, people draw lots of money out of their accounts to buy presents and other things. This will lead to a decrease in the money multiplier.

Answer:

Highway and postponement

Explanation:

The best transportation mode and warehousing system combination is probably highway and postponement.

As a manufacturer using the highway can help you deliver quality haulage and logistics services to your customers because it's fast, has less check points and toll free sometimes.

Answer:

Global competitors are interested in establishing a presence.

Explanation:

A greenfield venture may be too slow to establish a sizable presence when global competitors are interested in establishing a presence.

As a global brand they would have gained more market experience and penetration, thus making greenfield a weaker competitor.

Answer: Certain brand names, such as Kleenex or Xerox, have become generic name.

Explanation:

Generic name is the term used to refer a product with its brand name rather than the product itself. Kleenex  and Xerox are the brand names of the products. Xerox is photocopying product and Kleenex is the brand name for wet wipes. People commonly use the word Kleenex instead of tissues or wet wipes.

This process can be called as genericization and companies loose their trademarks due to these usage of names. These generic names have wide spread popularity.

The Daily Herald running an article on a new restaurant is an example of local news coverage, which falls under the broader field of community journalism. In the digital age, newspapers have extended their services to social media platforms for better reach.

The Daily Herald running an article on a restaurant opening is an example of local news coverage. Newspapers have long been a trusted source of information for communities, providing timely and relevant content about local events and happenings. This includes restaurant openings, local politics, school events, and more.

In the traditional newspaper business model, articles on new local restaurants are a standard feature because they are of immediate interest to the community. The readers want to know about the nature of the restaurant, its offerings, location, opening hours, etc. This type of news falls under community journalism, which primarily focuses on the news and information needs of the communities they serve.

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Answer:

Havana's 2016 actual return on plan asset is $504 thousand.

Explanation:

Havana's 2016 actual return on plan asset is $504 thousand.

Let actual return be x.

Ending balance of plan assets =  Beginning balance of plan asset + Actual return + Cash Contributions - Retiree benefits

$6,336 = $5,760 + x + $696 - $624

x = $6,336 - $5,760 - $696 + $624

x= $504 (answer).

Final answer:

The actual return on plan assets cannot be calculated with the given information.

Explanation:

The actual return on plan assets is calculated by subtracting the beginning fair value of plan assets from the ending fair value of plan assets and adding any contributions made to the plan during the year. In this case, we have a contribution of $696 thousand to the plan. We also know that the expected rate of return on plan assets is 10%. However, we don't have information about the beginning and ending fair value of plan assets.

Therefore, we cannot calculate the actual return on plan assets with the given information.

Answer: (A) Greenfield investment

Explanation:

 The greenfield investment is one of the type of FDI ( Foreign direct investment) that helps in constructing the various types of new production facilities in an organization.

The main objective of the greenfield investment process is to making the manage the investor control process and also form different types of opportunities for managing the partnerships in the market.

According to the given question, the Greenfield investment process is helps in establishing the various types of new operation in Indonesia and it is the form of foreign direct investment.

 Therefore, Option (A) is correct answer.

It is false that you do not need to pay taxes on cash income. All earned income, including cash payments, is subject to taxation by law, and failure to pay taxes can result in fines or jail time.

Taxes must be paid on all forms of earned income, regardless of whether it is received in cash. The statement that you do not need to pay taxes if you earn income in cash is False. Environments with high income taxes and less stringent tax enforcement may encourage an underground economy where cash transactions occur off the books. However, not reporting income, including cash earnings, and not paying due taxes is illegal and can lead to fines or imprisonment. Additionally, while participating in the underground economy might provide short-term benefits such as avoiding taxes or even collecting unemployment insurance, it undercuts legitimate economic activities and may have long-term financial and legal consequences.

Answer:

D. $77,000

Explanation:

Depreciation expense using the straight line depreciation method = (Cost of asset - Salvage value) / useful life

($80,000 - $20,000) / 5 = $12,000

Accumulated Depreciation between October 1, 2013 and December 31, 2013 = (3/12) x $12,000 = $3,000

Book value = Cost of asset - accumulated deprecation

= $80,000 - $3,000 = $77,000

I hope my answer helps you

Answer:

D. $77,000

Explanation:

Depreciation is the recording of asset expense due to its use. It is due to use of fair value of the asset after use. The expense value reduces the asset value over useful life period.

As per given data

Cost of Asset = $80,000

Useful life= 5 years

Salvage Value = $20,000

Asset is purchased on October 1, 2013 and on December 31, 2013 depreciation of only 3 months has accrued.

Depreciation per year =  (Cost of Asset - Salvage Value) / Useful life = ($80,000 - $20,000)/ 5 = $12,000

Depreciation Expense for the year 2013 = $12,000 x 3/12 = $3,000

Book value of the asset is the net of accumulated depreciation of the asset. The accumulated depreciation on December 31, 2013, is $3,000

Book Value = Cost - Accumulated Depreciation = $80,000 - $3,000 = $77,000

Answer:

The answer is C) Sales & Raise

Explanation:

Answer:

C) Sales; raise

Explanation:

To prevent banks from using excess reserves to make loans that would increase the money supply, the Federal Reserve could conduct open-market SALES and RAISE the interest rate paid on bank reserves.

Open market operations can be used to control money supply.

Government securities are bought and sold in the open market to either increase or decrease money supply.

If the government wants to reduce money supply, it sells government bonds to the public. Money is collected in return for sale of security thereby reducing money supply.

In contrast, if government wants to increase money supply, it buys securities and more money is available in the economy.

The government can also influence the money supply by modifying reserve requirements.

Reserve requirement is the amount of funds banks must hold against deposits in bank accounts.

If reserve requirement is low, banks can loan out more money thereby increasing money supply.

In contrast, If reserve requirement is high, banks have less fund to loan out thereby decreasing money supply.

Answer:

fhuafuhfuhsuihfuishfdvbcgufjvhfigirhhjfhhhfhh

Explanation:

Answer: The options are given below:

A. forestalling

B. direct denial

C. translation

D. coming to that

E. feel, felt, found

The correct option is E.

Explanation: The feel, felt, found method is a strategy that is age-tested and has been proven to persuade customers gently into a new way of thinking about a particular product or service.

There are three separate but essential parts to the feel, felt, found method, they are;

- Feel, which is basically used in the context below:

“I understand how you feel.”

Using sentences like this will let a customer know that you heard him/her and that you can relate with his or her complaints.

- Felt, which is usually used in the context below:

“Initially, other customers felt that way.”

Using words like these is basically letting the client know that their initial thought about the product or service is common, and that it is subject to change.

- Found, which can be used in the context below:

“What they discovered, however, was that after taking so and so action was that they got positive results"

This will let the client know that there is an action that should be taken to get the desired result, and this is the action you want the client to take.

This is the strategy that Rita in the question above used.

Answer:

D. funded through public finance measures such as taxation.

Explanation:

Public goods are not necessarily provided in the free market, although it may be the case.

For this reason, governments take the function of prodiving public goods such as roads, elementary schools, and hospitals. Because the government does not produce as much wealth as the private sector in a market economy, what the goverment does is taxing the private sector to obtain the necessary funds to provide the public funds.

In case taxation is not enough, the government issues debt, and in extreme cases, prints money, a practice known as seignorage.

Answer:

D. funded through public finance measures such as taxation. funded by charitable trusts.

Explanation:

Base on the scenario been described in the question, the expense of the public goods is been financed by public finance taxation, this is done through the government, because the government does not have much wealth compared to the private sector, another way it us been founded is through charitable trusts

Answer:

The materials and factors of production were available and in good quality which resulted in workers taking less time to complete a task. this also means that workers were more skilled an took less time.

Explanation:

A favorable direct labor efficiency variance might indicate that, the materials and other factors of production were available and in good quality which resulted in workers taking less time to complete a task. this also means that workers were more skilled an took less time.

Answer:

Highly skilled workers were used that performed the task faster than expected.

Explanation:

When highly skilled workers are used to perform certain task coupled with the provision of the necessary raw materials need per time, there will definitely be a great output from such input compared to using of unskilled workers. This will be clearly seen in the time taken, precision and quality of the output from such task.

Answer: leads to the development of a sourcing plan

Explanation:

Inventory planning includes the safety stock planning. Safety stock planning means the additional maintenance of the stock to avoid the situation of being completely out of stock when needed. Safety stock acts as the buffer stock during the times of unexpected sudden increase in demand.

Through inventory and safety planning the goods can be accumulated based on the sale or the production of the firm. These things lead to the development of the source planning.

Answer:

The start up cost of the Tempe amounts to $32,000

Explanation:

Startup cost is the cost or an expense which is incurred during the procedure of creating or establishing the new business. And the example of the start up costs or pre- opening cost are research expense, business plan and expense for technology. The Post- opening expense involve promotion, employee expense and advertising.

The start up costs of Tempe is computed as:

Start up costs = Pre- opening advertising expenses + New employees training costs before opening the business

where

Pre- opening advertising expenses is $20,000

New employees training costs before opening the business is $12,000

So, putting the values above:

Start up costs = $20,000 + $12,000

Start up costs = $32,000