Hassle-free web is bidding to provide web hosting services for hotel lisbon. hotel lisbon pays its current provider $10,500 per year for hosting its web page, handling transactions, etc.
hassle free figures that it will need to purchase equipment worth $15,100 up front and then can spend $2,200 per year on monitoring, updates, and bandwidth to provide the service for 3 years.
if hassle free's cost of capital is 10.4%, can it bid less than $10,500 per year to provide the service and still increase its value by doing so?
the first step in the accounting process is to analyze every transaction (economic event) that affects the business. accountants use the double‐entry bookkeeping system to keep the accounting equation in balance and to double‐check the numerical accuracy of transaction entries.
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