Question: question number 2 answer by present value /future value / please help me interest 150,000 today? (5 marks) Q2. Mr. David Watson wants to open

question number 2 answer by present value /future value / please help me

question number 2 answer by present value /future
interest 150,000 today? (5 marks) Q2. Mr. David Watson wants to open a new Medical Clinic in the South East community of Seton, Market analysis indicates that it could be promising investment if he can manage it well. Mr. Watson invested $150,000 from his own savings into the business. He rented 3000 SF of space at monthly rent of $6,000 Hired 2 doctors paying each of them $100,000 per year. Office furniture for Clinic cost $20,000 which wil last for at least next 10 years with zero residual value. Medical equipment costs another $10,000 which will last for 5 years with a residual value of 1000. He hired 2 full time MOA graduates for the front desk paying at a rate of $25 per hour, After a month of operations for January 2020 he found the following: Electricity expense paid $300 Telephone bill paid $400 Advertising & promotional expense paid $1000 Heating Expense paid $ 450 Alberta's current fee-for-service model allows family doctors to bill $41 as a base foe for each patient visit no matter how short or how long it is Mr David found that on average 70 patients visited his clinic per day during the month of January The clinic is open from Monday to Sunday with 9 AM to 5 PM hours of operations. He came to know that one of his MOA employees has knowledge of Finance and Accounting So, Mr David approach to you and ask you if you can tell him if his business is profitable or unprofitable for the month of January 2020 based on the above information. He also told you that his business tax rate is 30%. Please advise him (10 marks]

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