(ignore income taxes in this problem.) the higgins company has just purchased a piece of equipment at a cost of $120,000. this equipment will reduce operating costs by $40,000 each year for the next eight years. this equipment replaces old equipment which was sold for $8,000 cash. the new equipment has a payback period of:
Answers
Payback time = Required Investment ($120,000 - $8,000) is the annual net cash inflow. $40,000 annually equals 2.8 years.
How do I calculate the payback time?In plain English, the payback time is calculated by dividing the cost of the investment by the annual cash flow up until the cumulative cash flow is positive, or the payback year. Years are frequently used to illustrate the payback period.
What kind of investment is needed?Investment Requirement is the minimal investment that must be made by the Company in the Project in order for it to qualify for the incentives listed below.
What is the minimal investment necessary?The stipulated minimal sum of money needed to purchase or invest in a security, asset, or opportunity is known as the minimum investment. Although minimum investments in mutual funds and hedge funds can range widely from hundreds of dollars to millions of dollars, they are normally required.
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Related Questions
what are some pros and cons to using a credit card?
Answers
Answer:
Pro is that you can use it anytime to pay for something. Con is that sometimes people don't pay them off.
Answer:
Credit cards allow you to spend money that you don't have at that point in time. You basically take out a tiny loan every single time you use a credit card, but as with all lones that means the credit card charges you interest which is a problem when paying off credit card debt
Explanation:
you write one ibm july 125 call contract for a premium of $8 per call. you hold the option contract until the expiry date, when ibm stock sells for $131 per share. you will realize a net on the investment. group of answer choices b. $200 gain a. $2 gain c. $600 gain d. $6 gain
Answers
In general, "net gain" refers to the margin by which all gains in a scenario outweigh all costs. It can be stated as a percentage or as an absolute value.
Based on the information provided, you purchased one IBM July 125 call contract for a premium of $8 per call. This gives you the right to buy IBM stock at $125 per share. On the expiry date, the IBM stock sells for $131 per share, which is higher than the strike price of $125.
To calculate the net gain, you need to subtract the premium paid for the option from the profit made from exercising the option. In this case, you did not exercise the option and instead sold it at the expiry date. Therefore, your profit would be the difference between the stock price and the strike price, minus the premium paid.
Profit = (Stock price - Strike price) - Premium paid
Profit = ($131 - $125) - $8
Profit = $6 - $8
Profit = -$2
As a result, your net gain on this investment would be a loss of $2. Therefore, the answer to question is (a) $2 gain is not correct, and the correct answer is (b) the $200 gain is not correct, and the correct answer is (c) the $600 gain is not correct, and the correct answer is (d) $6 gain is also not correct.
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The top management of hipster clothing decides to set up an online store to cater to the changing business environment and reach out to the hispanic market. the management also identifies that the success of the company will depend on its ability to create and develop new products and processes in the next two years. this is an example of
Answers
I they create and develop new products and processes in the next two years. This is an example of strategic planning.
What is strategic planning?Strategic planning can be defined as those goals and objective a company or organization intend to achieve in the future.
Based on the given scenario the company is engaging in future Strategic planning as they intend to develop new products and processes in the next two years.
Therefore this is an example of strategic planning.
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Question 14(1 point) Where does a lanyard hook to a full body harness in a fall protection system?
Answers
Answer:
it connects to the body belt.
Explanation:
If you want to value a firm but do not want to explicitly forecast its dividends, what is the simplest model for you to use?
a. the discounted free cash flow model
b. the dividend-discount model
c. the enterprise value model
d. None of the above
Answers
The simplest model to value a firm without explicitly forecasting its dividends is the discounted free cash flow model (option a).
What is the simplest model for you to use?This model values a firm based on its ability to generate cash flows, which includes dividends but also includes other sources of cash such as reinvestments and debt repayments.
It is a more comprehensive approach to valuing a firm than the dividend-discount model, which only considers dividends.
The enterprise value model (c) also takes into account the firm's ability to generate cash flows, but it is typically used in the context of mergers and acquisitions rather than general firm valuation.
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what happens to consumer and business spending when the interest rates go up?
Answers
Answer:
When interest rates are rising, both businesses and consumers will cut back on spending. This will cause earnings to fall and stock prices to drop.
which of the following is not a limitation of internal control policies and procedures? human error. cost-benefit constraint. collusion. establishing responsibilities. human fraud.
Answers
"establishing responsibilities" is not a limitation of internal control policies and procedures.
Establishing responsibilities is a crucial aspect of internal control policies, as it helps assign specific duties and accountability to different individuals, ensuring that each person knows their role within the organization. This, in turn, helps to maintain a well-structured and effective internal control system, therefore it is not a limitation.
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Sarah got a big raise at her job, so she bought herself a new truck. She knew it was a splurge, but she figured with her extra money coming in, it would be manageable. Unfortunately, her company had to cut her job the very next month, leaving Sarah with a new truck and no extra money to pay for it. What does this scenario BEST represent? income risk interest rate risk personal risk inflation risk
Answers
Answer:
income risk
Explanation:
income risk
she thought she had lots of income, so she took a risk
Hope this helps plz hit the crown
The correct option is A). Income Risk
What is Income Risk?Income risk is the type of risk that the income stream paid by a fund will decrease in regards to a fall in interest rates.
Income risks mainly occur due to the unpredictability of the market and can impact the market value and cash flows from the security.
This risk is most prevalent in the money market.
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What Is NOT one of the three primary resources that farnilies have to reach financlal goals?
A.Education
B.Energy
C.Time
D.Money
Answers
Answer:
I think it would be education
Explanation:
Answer: A. Education
Explanation:
4. People in the organisations carry out diverse tasks with the aim to achieve
(a) Different objectives
(b) Common objectives
(c) Both of the above
(d) None of the above
Answers
Answer:
(b) Common objectives
Explanation:
People and departments in an organization perform different functions, but all focus on achieving its objectives. An organization's top management sets the goals and targets for a particular period. It then identifies specific actions that need to be accomplished to achieve the set goals.
The identified actions are distributed to various departments for implementation. Each department will break down its activities into small tasks and assign them to individual workers. Every employee will be working to achieve their set objectives. If all workers achieve their targets, the departments will meet their objectives, and so is the organization's goals.
Please help me with this guysssssss
1. The nominal interest rate is8% and the inflation rate is 6%, what is the real rate of interest?
2. If the real rate of interest is 2%, and the expected rate of inflation is 3% then the nominal rate of interest is:
Answers
Answer:
hmmmmm let me think first sorry for not helping but have a great day sir
Besides scrolling manually page by page in, say, Print Layout, identify at least two ways to move to specific locations or objects in a document.
Answers
Answer:
1. By pressing the "Next page and Prev. page" button
2. By inserting which page number to go, and then press the enter button
3. By using the "Find" function
Explanation:
In a Print Layout, a user can move to specific locations or objects in a document through the following ways:
1. By pressing the "Next page and Prev. page" button: pressing "Next or Prev. page button allows a user to quickly move from one page to another.
2. By inserting which page number to go, and then press the enter button: this allows a user to quickly navigate and land in the desired page.
3. By using the "Find" function: This can be done quickly with F5 Key: in a situation where a user wants to quickly find a topic, word, or phrase. The "Find" function will quickly show the page, topic, or words and highlight it.
What is one drawback of declaring bankruptcy?
A. It can be used only if a person has good credit.
B. It severely lowers a person's credit rating.
C. It often results in a civil lawsuit.
D. It prevents a person from getting further education.
Answers
Answer:
B. It severely lowers a persons credit rating.
Explanation:
Immediately a person files for bankruptcy, their credit history changes to bankrupt status instantly. The bankruptcy status may stay up to 10 years. It becomes very challenging for such individuals to get credit facilities. Any lender seeking to get their credit history to advance them a loan will get a bankrupt status as the feedback.
Bankruptcy means that the person does not have sufficient assets to cover their debt obligations. All their credit cards get canceled. The bankruptcy status creates a long term negative effect on credit history.
One drawback of declaring bankruptcy it severely lowers a person's credit rating. Thus, option B is appropriate.
Bankruptcy gives those who are unwilling to pay their obligations the chance to start over by selling assets to pay off debts or by developing a repayment plan. Bankruptcy laws also provide protection for financially troubled businesses. In this part, the laws and the bankruptcy procedure are described.
Through the legal process of bankruptcy, individuals or other entities that are unable to pay their creditors back can seek partial or complete relief from their debts. Typically, bankruptcy is imposed by an administrative order that the debtor regularly requests.
Thus, option B is correct.
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a 60-day, 13% note for $14,000, dated may 1, is received from a customer on account. assuming a 360-day year, the maturity value of the note is a.$1,303. b.$13,970. c.$14,000. d.$14,303.
Answers
The maturity value of a note is the total amount due at the end of the note's term. In this case, we have a 60-day, 13% note for $14,000, dated May 1.
To find the maturity value, we need to calculate the interest and add it to the principal amount.
First, let's calculate the interest:
Principal amount: $14,000
Interest rate: 13%
Time period: 60 days
To find the interest, we can use the simple interest formula:
Interest = Principal x Rate x Time
Substituting the values, we have:
Interest = $14,000 x 0.13 x (60/360)
Now, let's calculate the interest:
Interest = $14,000 x 0.13 x (60/360) = $383.33
Next, we add the interest to the principal amount:
Maturity value = Principal + Interest = $14,000 + $383.33
Calculating the maturity value:
Maturity value = $14,000 + $383.33 = $14,383.33
Since the question asks for the maturity value, the correct answer is d. $14,303.
In summary, the maturity value of the 60-day, 13% note for $14,000, dated May 1, is $14,303.
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if $10,000 is invested so that it grows at the rate of 10% per year, what will the investment be worth in 20 years?
Answers
The principal amount is Rs 10,000, the interest rate is 10% and the number of years is six. Simple interest can be calculated as follows: A = 10,000 (1+0.1*6) = Rs 16,000 Interest = A - P = 16,000 - 10,000 = Rs 6,000
How much will an investment be worth in 20 years?
1 lakh INR in 2001 is now worth about 27,000 INR due to inflation. This means that the effect is precisely how compound interest on inflation is added to the previous year's inflation. The value of Rs 1 crore in 20 years will be Rs 2 crore in your account. The inflation adjusted real value (also called purchasing power) of a 1 billion rupee will be 75,000 rupees 20 years from now
Assuming an inflation rate of .5%, this is equivalent to the value of a 1 billion rupee rupee after 20 years will be about 37 lakh rupees!
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Sales is one occupation where _________ is not determined by wage or salary limits set by an employer
Answers
Sales is one occupation where profit is not determined by wage or salary limits set by an employer.
What is sales?Sales include the step by step procedure that is used in spelling a goods or services.
The activity involves in sakes aims at selling the product to make profit.
Therefore, sales is one occupation where profit is not determined by wage or salary limits set by an employer.
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Describe 3 different career fields within the Fashion industry?
Answers
Brenda and Louise are twin sisters who each married 20 years ago. Brenda and her husband run a small piano tuning business. They have had a small, loyal customer base, and their modest but adequate income has not changed over time. Louise and her husband each work for a corporation, and their incomes have steadily increased over the last 20 years allowing them to increase their standard of living. Assuming that Brenda and Louise began their married lives equally happy, and based on their income histories alone, what would you predict about the subjective well-being of Brenda and Louise today
Answers
Answer: Probably, still happy
Explanation:
People measure success differently, and what makes an individual happy may not be applicable to another, some person's gain satisfaction in doing their own business, while some prefer working for other people. This is why there isn't any specific measure for people's success. Concerning Brenda and Louise, there is a great possibility that they are happy in their various endeavors, having chosen a particular career part and stuck to it for years. This doesn't mean they won't have challenges but means they are happy where they are.
What are five questions you should ask yourself to help you determine the type of health care coverage that is most important to you?
Answers
Cheap
Effective
Fast
Options
Safe
"a sourcing strategy in which the buying firm shares its business across multiple suppliers "
multiple sourcing
Answers
Multiple sourcing is a sourcing strategy in which the buying firm shares its business across multiple suppliers in order to gain benefits such as lower costs, increased access to new technology, and improved access to materials. This strategy can also help to spread out risk, as the firm will not be reliant on one supplier for all of its needs.
In this approach, the purchasing company splits its orders among numerous suppliers to reduce the risk of disruption to the supply chain, which may occur if it depends on a single supplier. If one supplier becomes unavailable or is unable to deliver goods on time, the company can turn to another supplier without causing any disruption to its operations.
The sourcing strategy is usually adopted when the purchasing company is concerned about supplier failure, supply chain disruption, or in the event of a significant supplier's bankruptcy. In general, this strategy provides a backup plan and reduces risk by not relying solely on one supplier. Therefore, we can say that multiple sourcing is a sourcing strategy in which the buying firm shares its business across multiple suppliers.
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56. IMPORTANT QUESTION PLS ANSWER !!!
Common policies for cell phone use in the workplace include:
Answers
Explanation:
do not take the personal calls during work hours
Answer:
1. Do not take personal calls during work hours
2. Turn off ringer before entering the workplace
4. Use texting only during meetings
____________________________________________________________
good luck I just used common sense so uhm here i hope they are correct good luck
Which exit strategy can you use when you are unable to locate a buyer for your business?
A.
file for tax returns
B.
venture into a new business
C.
repay your loans
D.
liquidate the business
Answers
hope this helps !!
please respond to all parts of the question below, each with its own section. a. do you think businesses should voluntarily undertake environmental efforts, beyond those required by law? why or why not? b. describe the sustainability management practices of a business firm with which you are familiar. which stage of the corporate environmental responsibility model best fits this firm, and why? looking again at this same firm, what steps might its managers take to improve its environmental performance? in answering this question, consider the various elements of effective environmental management.
Answers
a. Yes, I think businesses should voluntarily undertake environmental efforts beyond those required by law. There are several reasons for this:
Environmental degradation can have negative impacts on businesses, including increased costs due to natural disasters or regulatory fines, as well as reputational damage from negative public perception. By proactively addressing environmental issues, businesses can mitigate these risks and potentially even benefit from improved reputation and customer loyalty.Some environmental efforts may also have financial benefits for businesses, such as reduced energy costs from energy efficiency measures or the ability to sell excess renewable energy back to the grid.Businesses have a responsibility to operate in a way that takes into account the well-being of society and the environment. By proactively addressing environmental issues, businesses can demonstrate their commitment to sustainability and their broader role in society.b. One business firm that I am familiar with that has strong sustainability management practices is Patagonia, an outdoor clothing and gear company. Patagonia has a comprehensive environmental policy that includes commitments to reducing the environmental impact of its products and operations, as well as advocating for environmental causes.
To improve its environmental performance, Patagonia's managers could consider implementing additional sustainability initiatives, such as increasing the use of recycled materials in its products, implementing water conservation measures in its manufacturing processes, or increasing the use of renewable energy in its operations. Other elements of effective environmental management that Patagonia's managers could consider include setting clear environmental goals and targets, engaging with stakeholders (including employees, customers, and suppliers) on environmental issues, and reporting transparently on the company's environmental performance.
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Sylvestor Systems borrows $182,000 cash on May 15, 2017, by signing a 120-day, 6% note.
1. On what date does this note mature?
September 11, 2017
September 12, 2017
September 13, 2017
September 14, 2017
September 15, 2017
Answers
The note will mature on September 12, 2017. The no e that Sylvestor Systems signed on May 15, 2017, is a 120-day note with a 6% interest rate.
To determine the maturity date of the note, we need to add 120 days to the date the note was signed, which gives us September 12, 2017.
Therefore, the note will mature on September 12, 2017, and Sylvestor Systems will need to pay back the borrowed amount plus the interest that has accrued over the 120-day period.
It is important for Sylvestor Systems to keep track of the maturity date and plan accordingly to ensure that they have enough funds to pay back the loan on time to avoid any potential penalties or damage to their credit score.
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When a new company is acquired, which of these intangible assets, unrecorded on the acquired company's books, might be recorded in addition to goodwill?
a. A brand name.
b. A patent.
c. A customer list.
d. All of the above.
Answers
When a new company is acquired, all of the following intangible assets might be recorded if unrecorded on the acquired company's books: a brand name, a patent, and a customer list (Option d).
In the process of acquiring a new company, the acquiring company evaluates the assets and liabilities of the target company. This assessment includes identifying and recording intangible assets that were not previously recorded on the target company's books. Intangible assets are assets that lack physical substance but hold value for the company.
Among the potential intangible assets that might be recorded in addition to goodwill are a brand name, a patent, and a customer list. A brand name represents the reputation, recognition, and customer loyalty associated with a specific product or company. A patent provides legal protection for an invention or innovation, granting exclusive rights to the inventor. A customer list refers to a collection of customer data and information, including contact details and purchasing history, which can be valuable for future marketing and relationship management.
When a new company is acquired, these unrecorded intangible assets may be recognized and recorded separately on the acquiring company's books. Each of these assets can contribute to the overall value of the acquisition and enhance the acquirer's competitive position in the market.
In summary, in addition to goodwill, when a new company is acquired, unrecorded intangible assets such as a brand name, a patent, and a customer list might be recognized and recorded by the acquiring company. These assets hold value and contribute to the strategic advantages gained through the acquisition.
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Thirsty Dog! Is a zesty beef-flavored, vitamin-enriched, mineral-loaded, lightly carbonated bottled water for your dog. It might have been a great product, but competition over shelf space was fierce and the product could not generate enough sales per square foot for retailers. The makers of this product had
Answers
Type the correct answer in the box. Which Financial Assets can be traded on the stock market?
_____ are tradable financial assets that are sold and bought on the stock market.
Answers
Your answer is Treasury Bill!
Hopefully, this helps! :D
Please give branliest!
Which group is legally responsible for implementing
protection and controls that ensure your workplace
meets safety standards?
A. Employers
B. Unions
C. Employees
D. Government
Answers
Answer:
A
Explanation:
Answer:
It SHOULD be employers but i may be wrong... if i'm not CAN I PLES HAVE BRAINLYIEST
Explanation:
Also, if i'm right there is no need to thank me unless you want too
one company is facing several decisions regarding investing and financing activities. address each decision independently. on june 30, 2024, the stone company purchased equipment from paper corporation. stone agreed to pay $15,000 on the purchase date and the balance in six annual installments of $7,000 on each june 30 beginning june 30, 2025. assuming that an interest rate of 12% properly reflects the time value of money in this situation, at what amount should stone value the equipment? stone needs to accumulate sufficient funds to pay a $450,000 debt that comes due on december 31, 2029. the company will accumulate the funds by making five equal annual deposits to an account paying 5% interest compounded annually. determine the required annual deposit if the first deposit is made on december 31, 2024. on january 1, 2024, stone leased an office building. terms of the lease require stone to make 20 annual lease payments of $125,000 beginning on january 1, 2024. a 12% interest rate is implicit in the lease agreement. at what amount should stone record the lease liability on january 1, 2024, before any lease payments are made?
Answers
$1,109,479.93 amount should stone record the lease liability on january 1, 2024, before any lease payments are made which means Present Value of Lease Liability is $1,109,479.93
Requirement 1
Equipment should be recorded at its Cash Price Equivalent. But in the absence of such, it is recorded at the present value of payments or fair value at the time of acquisition, whichever is lower.
Since Cash Price Equivalent and fair value is not available, we will use the discounted value of payments.
Annual Payments = $6,000
PV of 11% ordinary annuity for 6 periods = 4.23054
Present Value of Annual Payments = $6,000 x 4.23054 = $25,383.24
Add: Down Payment - $29,000
Present Value of Equipment = $54,383.24
Requirement 2
Future Value of Debt = $590,000
Future Value factor of 6% for 5 periods = 5.63709
Required Annual Deposits = $590,000 / 5.63709 = $104,663.93
To raise a total of $590,000, Johnstone should invest $104,663.93 annually to pay off its debt due in December 31, 2021.
Requirement 3
Lease liability are recorded at the present value of the total minimum lease payments.
Annual Payment = $139,000
Present Value factor of 11% annuity due for 15 periods = 7.98187
We use annuity due because the payments are made in advance.
Present Value of Lease Liability = $139,000 x 7.98187 = $1,109,479.93
Lease liability is recorded at its present value. An interest expense is also recognized annually for the whole life of lease.
Investments are monetary resources purchased in order to earn returns in the future or to be sold in the future for profit. The higher the investment, the higher the return is. But it also means higher risk.
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n instrument that is payable to cash or to whomever may have possession of the instrument is known as _______ paper.
Answers
Answer: bearer instrument
Explanation:
Bearer instrument is an instrument that is payable to cash or to whomever may have possession of the instrument. The bearer instrument is also referred to as the bearer bond.
It is a security whereby there is no record of ownership information and the security is typically issued to the purchaser in physical form and whoever holds it is believed to be the owner.