The following net cash flows relate to two projects: NET CASH FLOWS (IN $ 1,000) YEAR 0 1 2 3 45 6 PROJECTA -60 20 20 20 20 20 20 PROJECT B -72 45 22 20 13 13 13 What is the NPV of project A assuming a 10% cost of capital? O 32.89 O $27.110 O $60 K 32.89%
Answers
Option (a), The NPV (Net Present Value) of Project A assuming a 10% cost of capital is $32.89.
The formula to calculate the Net Present Value is:
NPV = PV (present value) of cash inflows - PV (present value) of cash outflows
PV of cash flows is calculated by discounting them at the required rate of return or cost of capital. This is given as PV = FV / (1 + r)ⁿ
Where, PV = Present Value,
FV = Future Value,
r = Required Rate of Return, and
n = the number of years.
To calculate the NPV of Project A assuming a 10% cost of capital, we use the formula:
NPV = PV of Cash Inflows - PV of Cash Outflows
Here,
Year 0 Net cash flows = - $60,000
Year 1 Net cash flows = $20,000
Year 2 Net cash flows = $20,000
Year 3 Net cash flows = $20,000
Year 4 Net cash flows = $20,000
Year 5 Net cash flows = $20,000
Year 6 Net cash flows = $20,000
The discount rate or cost of capital = 10%Now, we need to calculate the present value of each cash flow for 6 years at a 10% discount rate. Hence, we use the formula to calculate the present value of each cash flow:
P.V. = F.V. / (1 + r)ⁿ
PV of cash flows for Project A:
Year 0 = - $60,000 / (1 + 0.10)⁰ = - $60,000
Year 1 = $20,000 / (1 + 0.10)¹ = $18,181.82
Year 2 = $20,000 / (1 + 0.10)² = $16,528.93
Year 3 = $20,000 / (1 + 0.10)³ = $15,025.32
Year 4 = $20,000 / (1 + 0.10)⁴ = $13,664.84
Year 5 = $20,000 / (1 + 0.10)⁵ = $12,432.58
Year 6 = $20,000 / (1 + 0.10)⁶ = $11,314.16
Now we add up all of the present values:
P.V. of Project A = - $60,000 + $18,181.82 + $16,528.93 + $15,025.32 + $13,664.84 + $12,432.58 + $11,314.16 = $26,147.66
Now we calculate the NPV of Project A using the above formula:
NPV = PV of Cash Inflows - PV of Cash Outflows
= $26,147.66 - $60,000
= -$33,852.34
The NPV of Project A is negative. It indicates that Project A is not economically viable.
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Related Questions
Sean is the incorporator of twisty pretzels corporation. ross is a shareholder, phyllis is a director, and velma is an officer. the day-to-day operations of twisty are overseen by?
Answers
Velma (officer) will manage the day-to-day operations of twisty pretzels corporation.
The corporation's officials are in charge of managing day-to-day activities. They have the legal right to represent the corporation in practically all legitimate business-related activities as part of their various functions. Typically, the board of directors of the corporation appoints officers.
Company officers typically include:
Chief Executive Officer (CEO) or President: The CEO oversees all corporate operations and approves all contracts and other legally binding agreements on the company's behalf.Chief Operating Officer (COO): The COO typically answers directly to the CEO and runs the company's daily operations.Chief Financial Officer (CFO) or Treasurer: The CFO is in charge of practically all corporate financial matters, directly or indirectly.Secretary: The Secretary of a corporation is responsible for keeping all of the corporation's records, papers, and "minutes" from shareholder meetings.Learn more about Organisational Structure at https://brainly.com/question/24089799
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QUESTIONS 4 66. - Neatness has great value Consider the following short run production function: Q=6L-0.4L (each a point) a. Find the value of L that maximizes output and maximum output b. Find the value of L that maximizes marginal product and maximum marginal product c. Find the value of L that maximizes average product and maximum average product Given a short run cost function as TC= 1/3Q¹-2Q²-6Q +100 a. Find the minimum value of AVC and MC (a point) A firm operates in a perfectly competitive market. The market price of its product is 4 birr and the total cost function is given by TC= 1/3Q - SQ+z0Q+50, where TC is the total cost and Q is the level of output. (each a point) a. What level of output should the firm produce to maximize its profit? b. Determine the level of profit at equilibrium. c. What minimum price is required by the firm to stay in the market Which Economic System is suit for Ethiopia? Discuss it? (4 point) Discuss the goals of macroeconomics and the measurement of economic performance of the country (6- the point) 6 6. What are problems and instruments of macroeconomics, Discuss it? (6-point)?
Answers
a. The value of L is 7.5 and the maximum output is 22.5.
b. The value of L is 7.5 and maximum marginal product is 0.
c. There is no value of L.
What is the value of L?a. To get value of L that maximizes output (Q), we need to differentiate the production function with respect to L:
\(Q = 6L - 0.4L^2\)
Taking derivative with respect to L:
dQ/dL = 6 - 0.8L
6 - 0.8L = 0
0.8L = 6
L = 6 / 0.8
L = 7.5
The value of L that maximizes output is 7.5 and maximum output (Q) will be:
\(Q = 6(7.5) - 0.4(7.5)^2\)
Q = 45 - 0.4(56.25)
Q = 45 - 22.5
Q = 22.5
To get value of L that maximizes marginal product (MP), we have to differentiate function:
MP = dQ/dL = 6 - 0.8L
Setting MP = 0:
6 - 0.8L = 0
0.8L = 6
L = 6 / 0.8
L = 7.5
The maximum marginal product is computed by substituting value into function:
MP = 6 - 0.8(7.5)
MP = 6 - 6
MP = 0
c. To find the value of L that maximizes average product (AP):
AP = Q / L = (6L - 0.4L^2) / L
Simplifying:
AP = 6 - 0.4L
Taking derivative:
dAP/dL = -0.4
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How do I find the first four terms?
Answers
Answer: 300, 350, 400, 450
Explanation:
a1 = first term = 300
d = common difference = 50
2nd term = a+d
= 300 + 50
= 350
3rd term = a + 2d
= 300 + 2(50)
= 300 + 100
= 400
4th term = a + 3d
= 300 + 3(50)
= 300 + 150
= 450
Therefore, the first four terms are 300, 350, 400, and 450.
variable costs: a. vary inversely with changes in sales b. change at a decreasing rate with changes in sales c. increase then decrease with changes in sales d. change directly with changes in sales
Answers
Variable costs are costs that change directly with changes in sales. This means that as the level of sales increases or decreases, the variable costs will also increase or decrease, respectively. The correct option is D.
Let's consider an example. Imagine you own a bakery, and your variable costs include the cost of ingredients such as flour, sugar, and eggs. As your sales increase, you will need to produce more baked goods to meet the demand. This requires you to purchase more ingredients, thus causing your variable costs to increase.
On the other hand, if your sales decrease, you will need to produce fewer baked goods, which means you will require fewer ingredients. This will result in a decrease in your variable costs.
In summary, variable costs change directly with changes in sales. This means that as sales increase or decrease, the variable costs will also increase or decrease in the same direction. This relationship can be observed in businesses across various industries, making it an important aspect of cost management and financial planning.
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Using the chain ratio method, estimate the market sales potential for heart catheterization products to meet the needs of the infant and child segment. Assume that of the 45,000 children with heart defects each year, 70 percent will benefit from these types of products and that only 50 percent of their families have the financlal resources to obtain such treatment. Also assume the average price for a device is $3,000 and children may only go through a single procedure. The number of buyers in the market can be estimated as (Round to the nearest whole number.)
Answers
Based on the given assumptions and using the chain ratio method, the estimated market sales potential for heart catheterization products in the infant and child segment would be approximately $47,250,000.
To estimate the market sales potential for heart catheterization products in the infant and child segment using the chain ratio method, we'll follow the given assumptions step by step.
Total number of children with heart defects per year: 45,000.
Percentage of children who will benefit from heart catheterization products: 70%.
The potential beneficiaries would be 45,000 * 0.70 = 31,500 children.
Percentage of families with financial resources to obtain treatment: 50%.
The potential buyers would be 31,500 * 0.50 = 15,750 families.
Now, we need to estimate the number of heart catheterization products required by these families:
Assuming each child goes through a single procedure, the number of devices needed would be the same as the number of families, which is 15,750.
Finally, we can calculate the market sales potential:
Average price per device: $3,000.
Total sales potential would be 15,750 * $3,000 = $47,250,000.
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Explain when (if at all) the asset or liability would require subsequent measurement at fair value. Cite the supporting Codification paragraph(s). Do not include excerpts from the Codification. Additionally. if fair value measurement is subsequently required or allowed, explain the likely level of the fair value hierarchy (Level 1, 2, or 3) to be used and the valuation technique (market, cost, or income) that would most likely apply.
At fiscal year-end, a company has an equity investment that gives the company significant influence over the investee, but not control over the investee.
Answers
As per IFRS 13, subsequent fair value measurement is required of those assets and/or liabilities that are subjected to being carried forward at fair value. For example, in case a fixed asset is measured using the revaluation model, the asset will have to be measured at fair value and subsequently the initial recognition.
Few examples of when subsequent fair value measurement is done:
Financial Intruments are measured at fair value through OCI or through profit or loss.Property, plant, and equipment were measured using the revaluation model.Investment properties are measured using a fair value model.There are three levels that are used for fair value measurement.
Level 1 - Quoted price for an identical asset in the active market.Level 2 - Quoted price for a similar asset in the active market or unquoted price of the identical asset in the passive marketLevel 3 - Best estimate or significant unobservable inputs e.g. discounted cash flowsCodification helps to discourage the municipal legislative body from enacting redundant or inconsistent new ordinances, and shall we the council or board view the frame of law as an entire and notice any gaps in insurance which may need regulation. the first everlasting system of codified laws might be observed in imperial China, with the compilation of the Tang Code in advert 624. The codification is prepared in a tiered shape.
This code system wonderful the 2 gadgets separately through the items of comparable names. Codification enables the organization to bring buying commands without difficulty and quickly and divide the shopping department into commodity sections each engaged within the buying of a selected range of shops. The linguistic term codification refers to the strategies by using which a language is standardized. these techniques encompass the advent and use of dictionaries, fashion and utilization courses, conventional grammar textbooks, etc
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The prisoner's dilemma is a situation in which:
Group of answer choices
O players have difficulty in choosing a strategy based on trust.
O a firm's competitors ignores its action while making their own decisions.
O oligopolists behave irrationally.
O oligopolists attempt to maximize sales rather than profits.
O an oligopolist’s demand curve becomes perfectly inelastic.
Answers
The prisoner's dilemma is a situation in which: players have difficulty choosing a strategy based on trust.
In a prisoner's dilemma, the firm will settle on choices that will just help them without believing the other player in the game, which will hurt the general result.
The prisoner's dilemma presents what is happening where two gatherings, isolated and unfit to impart, should each pick between collaborating with the other or not. The most elevated prize for each party happens when the two players decide to co-work.
The prisoner dilemma is the most popular round of the systems in sociology. It assists us with understanding what oversees the harmony among participation and contest in business, legislative issues, and group environments.
Hence option (A) is correct.
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he left the clinic. start's with that
Answers
Answer:
sí, salió de la clínica
Explanation:
Xavier is excited but knows this is a huge project. Help Xavier stay organized by creating a job board for him. A job board is like a bulletin board that holds important information about a big project. This way, he can see the important aspects of his job, along with his costs. To do this, you will be taking the answers to the math questions above and creating items that Xavier can hang on his job board to remind him of the choices he should make in this project. You may select to create your job board in poster form or digitally in a word processing document. Either way, the job board should include the following pieces of content:
A rough drawing of Xavier’s lot that includes the lot measurements provided above.
Make sure that you include the total area of the lot that you calculated in Math Problem 1 somewhere on this drawing.
A sketch of the prefabricated house option that you suggest Xavier purchases (either Option 1 or Option 2).
Make sure that you include his final price that you calculated in Math Problem 3 or 4.
Also, be sure to label the upgraded technology that was included in the option you chose so that Xavier can point it out to his building inspector when the time comes.
A graphic representation (photo, clip art, etc.) of a truck with the final transportation cost on it (this is the answer to Math Problem 5).
You will turn in this job board along with your math sheet.
Answers
Answer:
Great idea! Let's make Xavier's job board as informative and visually appealing as possible. We'll start by including a detailed drawing of Xavier's lot that includes all of the measurements provided in Math Problem 1. We'll also make sure to prominently display the total area of the lot that we calculated.
Next, we'll include a sketch of the prefabricated house option that we suggest Xavier purchases, along with the final price that was calculated in Math Problem 3 or 4. To make it even more clear for Xavier, we'll label the upgraded technology that was included in the option we chose so that he can easily point it out to his building inspector when the time comes.
To make the job board even more visually appealing, we'll include a graphic representation of a truck with the final transportation cost on it, which is the answer to Math Problem 5. This will help Xavier keep track of his costs and make sure that he stays within his budget.
Overall, Xavier's job board will be a useful tool to help him stay organized and make informed decisions throughout his project.
Explanation:
What is the most important thing about branding?
Put out a new message every month
Have your brand look like your competitor
Be consistent
Answers
Answer: Be consistent
If you change your branding too often you will confuse consumers
Explanation:
suppose the u.s. gdp growth rate is faster relative to other countries' gdp growth rates. this will group of answer choices move the economy up along a stationary aggregate demand curve. shift the aggregate demand curve to the right. shift the aggregate demand curve to the left. move the economy down along a stationary aggregate demand curve.
Answers
Suppose the U.S. GDP growth rate is faster relative to other countries' GDP shift the aggregate demand curve to the right. (option b).
The aggregate demand (AD) curve represents the total demand for goods and services in an economy at a given price level. It shows the relationship between the price level and the total quantity of goods and services demanded in the economy.
Now, when the US GDP growth rate is faster relative to other countries, it means that the US economy is expanding at a faster pace, resulting in higher consumer spending, investments, and exports.
In conclusion, when the US GDP growth rate is faster relative to other countries, it leads to an increase in the overall demand for goods and services in the economy, resulting in a rightward shift of the AD curve. This shift indicates that at each price level, a higher quantity of goods and services is demanded, leading to an increase in the equilibrium level of output and price level.
Then the option (b) is correct one.
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Value Added Inc. buys $1 million of sow's ears at the beginning of January but doesn't pay immediately. Instead, it agrees to pay the bill in March. It processes the ears into silk purses, which it sells for $2 million in February. However, it will not collect payment on the sales until April. (Leave no cells blank - be certain to enter "0" wherever required. Negative amounts should be indicated by a minus sign. Enter your answers in thousands of dollars not in millions.)
(a) What is the firm’s net income in February?
(b) What is its net income in March?
Answers
Answer and Explanation:
The computation is shown below:
Firm net income in Feb is
= Sales - cost of goods sold
= $2,000,000 - $1,000,000
= $1,000,000
Now the net income is
= $1,000,000 ÷ 1,000
= 1,000 thousands
b. For the month of march, the net income is zero
By using the above formula the correct amount could come and the same is to be considered
In the Moose Head Cabin Fever Rescue promotion, beer retailers were sent an inflatable bush plane with a 30-inch wingspan that appeared to be dropping a parachute holding a 12-pack of Moose Head beer. Moose Head probably had to pay a(n) _____ to encourage retailers to use the large promotional material.
A. display allowance
B. buyback allowance
C. placement allowance
D. trade fee
E. inserting allowance
Answers
Moose Head probably had to pay a option C) placement allowance to encourage the retailers to use the large promotional material.
Placement allowance refers to the amount of money that manufacturers pay to retailers for placing their products on their shelves in the store. Placement allowance is a type of trade promotion used by manufacturers to get their products in front of customers by encouraging retailers to place their products on prominent display, in end-of-aisle placements, or on shelves at eye level, for example.
The other types of allowances include buyback allowance, which is a type of incentive given by manufacturers to retailers in which the manufacturers buy back slow-selling or unsold products from retailers at a certain price. Display allowance is the amount of money given by manufacturers to retailers for creating prominent displays in the store. Inserting allowance is the amount of money given by manufacturers to retailers for inserting a manufacturer's brochure, flier, or other promotional material in a customer's order. Trade fee refers to the amount paid by one trader to another for the privilege of dealing.
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Which of the following states the law of supply and demand
Answers
Answer: The four basic laws of supply and demand are: If demand increases and supply remains unchanged, then it leads to higher equilibrium price and higher quantity. If demand decreases and supply remains unchanged, then it leads to lower equilibrium price and lower quantity.
Commercial hotels are usually in downtown or _____________ districts.
Answers
Answer:
buisness
Explanation:
importance of entrepreneurship
Answers
Answer:
Entrepreneurship is important, as it has the ability to improve standards of living and create wealth, not only for the entrepreneurs but also for related businesses. Entrepreneurs also help drive change with innovation, where new and improved products enable new markets to be developed.
How many major OEMs manufacture Class 8 trucks
for the North American market?
Answers
Answer:
There are four major OMEs manufacturer trucks for the North American market
What was in the sealed box from the Virginia Company in England that the settlers
A opened once they arrived?
B guns and weapons for protection from Indians
C gold
D the names of the seven men who would be the leaders
E a map that showed where the gold was
Answers
Answer:
B
Explanation:
Answer:
The Virginia Company sent a list of seven qualified men who could serve on a council and be the leaders. The company leaders did this because they knew the men would have a hard time agreeing on who should be the leaders.
Explanation:
Maverick Backpacks makes backpacks. They have a monthly fixed cost level of $50,000 and marginal costs of $3. 00 per backpack. They wholesale their backpacks for $10. 00 each. Calculate the breakeven point. What is their profitability at the following production levels: 5,000, 10,000 and 15,000 units per month?
Answers
The profitability at a production level of 5,000 backpacks per month is $15,000, at 10,000 backpacks per month is $20,000, and at 15,000 backpacks per month is $55,000.
To calculate the breakeven point, we need to find the production level at which the total revenue is equal to the total cost.
Let's denote the monthly production level by Q.
Total Revenue = Wholesale Price * Q = $10.00Q
Total Cost = Fixed Cost + Marginal Cost * Q = $50,000 + $3.00Q
At the breakeven point, Total Revenue = Total Cost. So we can set up the following equation
$10.00Q = $50,000 + $3.00Q
Solving for Q, we get
$7.00Q = $50,000
Q = 7,143 backpacks
Therefore, the breakeven point for Maverick Backpacks is 7,143 backpacks per month.
To calculate profitability at different production levels, we can use the following formula
Profit = Total Revenue - Total Cost
At a production level of 5,000 backpacks per month
Total Revenue = $10.00 * 5,000 = $50,000
Total Cost = $50,000 + $3.00 * 5,000 = $65,000
Profit = $50,000 - $65,000 = -$15,000
At a production level of 10,000 backpacks per month
Total Revenue = $10.00 * 10,000 = $100,000
Total Cost = $50,000 + $3.00 * 10,000 = $80,000
Profit = $100,000 - $80,000 = $20,000
At a production level of 15,000 backpacks per month
Total Revenue = $10.00 * 15,000 = $150,000
Total Cost = $50,000 + $3.00 * 15,000 = $95,000
Profit = $150,000 - $95,000 = $55,000
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Kerry Howell Plc, a UK firm, plans to use a money market hedge to hedge its payment of A$3,000,000 (Australian dollars) for Australian goods in 1 year. The UK interest rate is 7%, while the Australian interest rate is 12%. The spot rate of the Australian dollar is £0.45, while the 1-year forward rate is £0.44. Determine the amount of British pounds needed in 1 year if a money market hedge is used. (15% mark)
Answers
The amount of British pounds needed in 1 year if a money market hedge is used is £0.4018.
Given, Kerry Howell Plc, a UK firm, plans to use a money market hedge to hedge its payment of A$3,000,000 (Australian dollars) for Australian goods in 1 year. The UK interest rate is 7%, while the Australian interest rate is 12%.The spot rate of the Australian dollar is £0.45, while the 1-year forward rate is £0.44.
The formula for the money market hedge is given by,
(1 + Rfc) = (1 + Rdc) * (S / F)
Where,
Rfc = Foreign Interest Rate
Rdc = Domestic Interest Rate
S = Spot Rate
F = Forward Rate
(1 + Rfc) = (1 + Rdc) * (S / F)
By substituting the values, we get,(1 + 0.12) = (1 + 0.07) * (0.45 / 0.44)1.12 = 1.07045 / F
Therefore, F = 0.45 / 1.12 = 0.4018 British pounds
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Which of the following is an example of an effective persuasive speech topic for a group of elementary school children? (edge 2022)
a.
the origins of Santa Claus in different cultures around the world
b.
abstinence: the best protection
c.
read at least 20 minutes a day
d.
staying in school is cool
Answers
_____ are sometimes used to alleviate problems caused by potential conflicts of interest between shareholders and CEOs.
A) mergers
B) acquisitions
C) incentives
D) buyout
Answers
c) Incentives are sometimes used to alleviate problems caused by potential conflicts of interest between shareholders and CEOs.
Conflicts of interest may arise when the goals of shareholders and CEOs differ, leading to actions that benefit one party at the expense of the other. To address these issues, companies often implement incentive systems that align the interests of both parties.
Incentive schemes, such as performance-based bonuses, stock options, and long-term incentives, encourage CEOs to make decisions that positively affect the company's performance and shareholder value. By tying a CEO's compensation to the company's success, it motivates them to work towards the same objectives as shareholders.
These incentives can effectively reduce conflicts of interest by promoting transparency, accountability, and the pursuit of long-term company growth. As a result, shareholders and CEOs can work together more harmoniously, ensuring the organization's success and creating a mutually beneficial relationship.
Therefore, the correct answer is c) Incentives
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Suppose you need to have $58,794.00 in an account 17.00 years from today and that the account pays 12.00%. How much do you have to deposit into the account 13.00 years from today?
Answers
The main answer is: The amount you need to deposit into the account 13.00 years from today is $24, To determine the amount you need to deposit, we can use the concept of compound interest.
The future value of an investment can be calculated using the formula: Future Value = Present Value * (1 + Interest Rate)^Time Given that you need to have $58,794.00 in the account 17.00 years from today and the account pays 12.00% interest, we can calculate the present value (amount to be deposited) required to achieve this future value. First, let's calculate the future value at the end of 17.00 years: Future Value = $58,794.0 Next, let's calculate the present value at the beginning of 13.00 years: Present Value = Future Value / (1 + Interest Rate)^Time Present Value = $58,794.00 / (1 + 0.12)^17 Present Value = $24,394.97 Therefore, you would need to deposit $24,394.97 into the account 13.00 years from today in order to have $58,794.00 at the end of 17.00 years, considering a 12.00% interest rate.
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A firm will have constant profits of $100,000 per year for the next four years, and the interest rate is 6 percent. Assuming these profits are realized at the end of each year, what is the present value of these future profits
Answers
Answer:
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Explanation:
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are the costs related to the product that have to be paid regardless of the amount you sell.
A) Fixed cost
B) Opportunity costs
C) Variable costs
D) none of the above
Answers
Answer:
C) Variable costs
Explanation:
) the capital budgeting manager for xyz corporation, a very profitable high technology company, completed her analysis of project a assuming 5-year depreciation. her accountant reviews the analysis and changes the depreciation method to 3-year depreciation. this change will
Answers
Increase the present value of the NCFs.
What is capital budgeting?
The procedure a company uses to assess possible big projects or investments is called capital budgeting. Before a project is accepted or denied, capital budgeting is necessary. Examples of such projects include the construction of a new plant or a significant investment in a third-party enterprise.
A business may examine the lifetime cash inflows and outflows of a planned project as part of capital planning to ascertain whether the projected returns will satisfy an adequate goal benchmark. The practice of capital budgeting is sometimes referred to as investment assessment.
Companies use capital budgeting to assess large-scale initiatives and investments, such as new buildings or machinery.
The procedure is examining the cash flows into and out of a project to ascertain whether the anticipated return reaches a predetermined standard.
Discounted cash flow, payback, and throughput assessments are three of the main capital budgeting techniques.
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Save & Exit Submit A review of Parson Corporation's accounting records found that at a volume of 144,000 units, the variable and fixed cost per unit amounted to $6 and $2, respectively. On the basis of this information, what amount of total cost would Parson anticipate at a volume of a. $ 1,096,000 b. $ 1,110,000 c. $ 1,138,000 d. $ 1,152,000 e. None of the answers is correct
Answers
Therefore, the correct answer is (d) $7,104,000.
To calculate the total cost at different volumes, we need to use the formula:
Total cost = (Variable cost per unit x Volume) + Fixed cost
- Variable cost per unit is given as $6
- Fixed cost per unit is given as $2
- We can calculate the total fixed cost as: Fixed cost per unit x Volume = $2 x 144,000 = $288,000
- Using this information, we can calculate the total cost at different volumes:
a. Total cost = ($6 x 1,096,000) + $288,000 = $6,984,000
b. Total cost = ($6 x 1,110,000) + $288,000 = $7,008,000
c. Total cost = ($6 x 1,138,000) + $288,000 = $7,068,000
d. Total cost = ($6 x 1,152,000) + $288,000 = $7,104,000
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determine the payback period for an investment. evaluate the acceptability of an investment project using the net present value method. evaluate the acceptability of an investment project using the internal rate of return method. compute the simple rate of return for an investment.
Answers
An investment is an asset or object received with the aim of producing earnings or appreciation. Appreciation refers to a boom in the value of an asset over the years.
That in shape is loose cash and a guaranteed go-back on your funding. you could start with as low as 1% of each paycheck, though it is an excellent idea to intention for contributing at least as a great deal as your business enterprise match. for instance, a not-unusual matching association is 50% of the first 6% of the profits you contribute.
Investors are understandably cautious. record-high inflation and back-to-back interest rate increases have all triggered volatility. The S&P 500 briefly fell into a undergo market on May 20, again on June 13, and for a 3rd time in September. however, all of that also shouldn't mean sitting out of the marketplace.
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Quote two activities of the purchasing function from the case study of MPUMI BOTTLE MANUFACTURE
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Quote of two activities of the purchasing function from the case study of MPUMI BOTTLE MANUFACTURE are:
Raheem Trading ensures that there is enough stock available for continuous production, Place orders with suppliers and follow up on them.buy material and equipment for manufacturing bottles. What are activities of the purchasing function?Purchasing is often in charge of making supplier selections, contract negotiations and administration, performance monitoring, ordering from suppliers, building a responsive supplier base, and upholding excellent supplier relations.
A team in charge of acquiring goods and services for resale or corporate usage is led by a purchasing manager, sometimes known as a purchasing director or supply manager. They look for the highest quality product at the most affordable price. They examine product quality, negotiate contracts, and assess suppliers.
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check the paragraphs here
MPUM BOTTLE MANUFACTURERSTABM)
Mpumi Bottle Manufacturers is a large business well known for supplying quality plastic
bottles, is the most customer-centric company, that build a place where people can come
find any bottle. The financial manager borrowed money from Blue bank at a high-interest
rate to buy material and equipment for manufacturing bottles. MBM has recently appointed
two experienced employees who are responsible for branding the bottles
The demand for branded bottles increased in other provinces they opened another branch
in North West Province. Raheem Trading opened a similar business that offers the same
services at a lower price,
Gail, the director shares the understating of how things are done in the business to
accomplish the business mission Raheem Trading's board of directors strongly believes in
good leadership and management for the success of the business.
Bennie the purchasing manager, at Raheem Trading ensures that there is enough stock
available for continuous production, Place orders with suppliers and follow up on them.
The credit department supervisor educates consumers on making the right choices when
they apply for credit
Andy Benton works at the local Starbucks coffee shop and his responsibilities include taking orders, fulfilling orders, and ringing in sales. At what level of the organizational pyramid would you categorize Andy
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Andy is going to be categorized in the operational aspect of the organizational pyramid.
What is an organizational pyramid?This is the hierarchy that is knwon to exist in an organization. This would have the company executives at the top of the pyramid.
Other workers in the organization would be at the other parts of the pyramid.
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