Which is/are a method/s of financial analysis for capital budgeting purposes? a. Calculations of internal rate of return and relative value unit (RVU) b. Calculation of cost-drivers O Calculation of internal rate of return and cost-drivers
c. Calculations of internal rate of return and payback period d. Development of a relative value unit (RVU)
Answers
Which is/are a method/s of financial analysis for capital budgeting purposes. The correct answer is:
c. Calculations of internal rate of return and payback period
Financial analysis plays a crucial role in capital budgeting, which involves evaluating and selecting investment projects. The methods used in financial analysis help assess the feasibility and profitability of potential projects. Among the options provided, calculations of internal rate of return (IRR) and payback period are commonly used methods for capital budgeting purposes.
1. Internal Rate of Return (IRR): IRR is a financial metric used to assess the profitability of an investment project. It calculates the discount rate at which the net present value (NPV) of cash flows from the project becomes zero. The IRR represents the rate of return that the project is expected to generate. In capital budgeting, projects with higher IRRs are generally preferred as they offer greater returns.
2. Payback Period: The payback period is a simple method that determines the time required to recoup the initial investment in a project. It calculates the period it takes for the cumulative cash inflows from the project to equal or surpass the initial investment. The payback period provides a measure of the project's risk and liquidity, with shorter payback periods indicating faster recovery of the investment.
While other financial metrics such as cost-drivers and relative value units (RVUs) can be relevant in certain contexts, they are not typically used as direct methods of financial analysis for capital budgeting purposes. Cost-drivers are used to analyze the factors influencing the costs of a project, while RVUs are a measure of relative value used in certain industries, such as healthcare.
In summary, when it comes to financial analysis for capital budgeting purposes, the calculations of internal rate of return (IRR) and payback period are commonly employed methods. These metrics help assess the profitability, risk, and liquidity of investment projects, assisting decision-makers in evaluating and selecting the most viable options.
Learn more about financial analysis here:
https://brainly.com/question/8344696
#SPJ11
Related Questions
Explain how making this substitution affects each of the
following instructions:
add $9, $8, $7
sw $4,16($2)
beq $3, $11, exit ; the label "exit" corresponds to address
0x400BD000
Answers
The substitution of `$4` for `$5` affects each of the given instructions as explained below:
add $9, $8, $7Substituting `$4` for `$5` does not affect this instruction. It will still add the contents of registers `$8` and `$7`, then store the result in register `$9`.sw $4,16($2)This instruction will be affected by the substitution. `$4` will be stored at memory address `$2+16`, which is the same as `$2+0x10` in hexadecimal notation. Thus, `$5` will be stored at the memory location `$2+16` rather than `$2+20`.beq $3, $11, exit the label "exit" corresponds to address 0x400BD000This instruction will also be affected by the substitution. The label "exit" will correspond to memory address `0x400BD000`. Therefore, the instruction will compare the contents of registers `$3` and `$11`, and if they are equal, the program will branch to memory address `0x400BD000`. However, this address will not be the actual address of the exit label due to the substitution. Thus, the branch will go to a different memory address that corresponds to the new location of the exit label after the substitution has been made.
About SubstitutionSubstitution are goods that can be exchanged for other products. Substitute goods are goods that are the same as other products. In a sense, substitute goods can be an alternative to the main product you are looking for. This one element can be considered in business strategy. What is meant by substitution? Substitution is the process of replacing a language element by another element to produce a distinguishing element or to explain a certain element. Substitution has the same structural function as what it replaces and can be replaced by interpretation items.
Learn More About Substitution at https://brainly.com/question/30241383
#SPJ11
It is important for business owners to understand the market structure in which they operate because:____.
Answers
It is important for business owners to understand the market structure in which they operate because it profoundly influences their business strategies.
The option (A) is correct.
Knowledge of the market structure allows business owners to identify the level of competition, the behavior of competitors, and the extent of their market power. For example, in a competitive market, pricing and differentiation strategies are crucial to gaining a competitive edge, whereas in a monopolistic market, building brand loyalty and product differentiation becomes essential.
Understanding the market structure also helps in setting appropriate pricing strategies, determining optimal production levels, and anticipating changes in consumer preferences.
Learn more about business owners:
https://brainly.com/question/33396063
#SPJ4
This question is not complete, Here I am attaching the complete question:
It is important for business owners to understand the market structure in which they operate because:____.
(A) it profoundly influences their business strategies.
(B) which there is only one provider of a product or service.
(C) none.
What are personal loans?
Answers
Answer:
personal loan is a specific amount of money you can borrow from the bank, with a fixed interest rate and you pay it back within a predetermined amount of time.
During 2019, Rainbow Umbrella Corp. had sales of $820,000. Cost of goods sold, administrative and selling expenses, and depreciation expenses were $575,000, $90,000, and $160,000, respectively. In addition, the company had an interest expense of $100,000 and a tax rate of 21 percent. (Assume that interest is fully deductible.) Suppose the company paid out $57,000 in cash dividends. If spending on net fixed assets and net working capital was zero, and if no new stock was issued during the year, what was the net new long-term debt?
Answers
Answer:
$2000
Explanation:
The computation of the net new long term debt is shown below:
Before that we need to do the following calculations
Sales $820,000
Less:
Cost of Goods sold $575,000
administrative and selling expenses $90,000
Depreciation $160,000
EBIT -$5,000
less: Interest $100,000
Taxable income –$105,000
Taxes (21%) 0
Net income -$105,000
Now Operating cash flow is
= EBIT + Depreciation -Taxes
= -$5,000 + 160,000 - 0
= $155,000
As we know that
Change in NWC = Net capital spending = Net new equity = 0
Cash flow from assets = OCF – Change in NWC – Net capital spending
where,
Cash flow from assets is
= $155,000 - 0 - 0
= $155,000
Cash flow to stockholders is
= Dividends - Net new equity
= $57000 - 0
= $57000
Cash flow to creditors = Cash flow from assets - Cash flow to stockholders
= $155000 - 57000
= $98,000
Cash flow to creditors = Interest - Net new LTD
Net new LTD = Interest - Cash flow to creditors
= $100,000 - 98,000
= $2000
PLS NEED HELP IM BEHIND BAD
Answers
Answer:
The first answer
Explanation:
Just took it
File cabinets are conventional storage cabinets that are deeper than they are wide and have files arranged from front to back.
Answers
Answer:
Vertical
Explanation:
THIS IS THE COMPLETE QUESTION BELOW
_______ file cabinets are conventional storage cabinets that are deeper than they are wide and have files arranged from front to back.
A filing cabinet can be regarded as piece of office furniture that is utilized in storage of paper documents in set file folders. It could be vertical files or lateral files. A vertical file posses drawers which extends from short sides of cabinet. It should be noted that vertical file cabinets are conventional storage cabinets that are deeper than they are wide and have files arranged from front to back.
Andy's utility function for candy is. U(x) = 10vx. If Andy eats 64 pieces of candy,
how much utility does Andy receive?
Answers
Answer:
U(x) = 10vx. If Andy eats 64 pieces of candy,
Explanation:
1. Problem solving and critical thinking are defined as
A. The process of finding solutions using myths.
3. Determining the quality of our beliefs,
C. The ability to use facts, knowledge and data to successfully solve problems
D. Assessing the practical impact of our beliefs,
Answers
Answer:
I believe it's C
Explanation:
It might not be, so I would wait till someone else gives you a answer just in case!!
For each of the following linear functions, construct an equation for the given function and then determine the independent and dependent variables. (a) Sales tax is 6.9% of the purchase price. T(P) = The independent variable is [Choose one and the dependent variable is Choose one (b) The height of a tree is directly proportional to the amount of sunlight it receives. NOTE: Use k for the constant of proportionality. (b) The height of a tree is directly proportional to the amount of sunlight it receives. NOTE: Use k for the constant of proportionality. H(S) = The independent variable is Choose one and the dependent variable is Choose one (c) The average salary for full-time employees of American domestic industries has been growing at an annual rate of $1600/year since 1985, when the average salary was $25,000. S(t) = The independent variable is Choose one and the dependent variable is Choose one A residential customer in the Midwest purchases gas from a utility company that charges according to the formula C(g) = 13+ 10.5g, where C(g) is the cost, in dollars, for g thousand cubic feet of gas. a. Find C(0), C(5), and C(10). C(0) = i C(5)= i C(10): b. What is the cost if the customer uses no gas? $ c. What is the rate per thousand cubic feet charged for using the gas? per thousand cubic feet of gas. much would it cost if the customer uses 94 thousand cubic feet of gas (the amount an average Midwest household consumes C(0) C(5) 60 i C(10) => i b. What is the cost if the customer uses no gas? c. What is the rate per thousand cubic feet charged for using the gas? $i per thousand cubic feet of gas. d. How much would it cost if the customer uses 94 thousand cubic feet of gas (the amount an average Midwest household consumes during the winter months)?
Answers
For each given linear function: (a) Sales tax is 6.9% of the purchase price. (b) Tree height is directly proportional to sunlight. (c) Average salary grows $1600/year since 1985. (d) Gas cost formula is C(g) = 13 + 10.5g.
(a) Sales tax is 6.9% of the purchase price.
T(P) = 0.069P
The independent variable is the purchase price (P), and the dependent variable is the sales tax (T).
(b) The height of a tree is directly proportional to the amount of sunlight it receives.
H(S) = kS
The independent variable is the amount of sunlight (S), and the dependent variable is the height of the tree (H).
(c) The average salary for full-time employees of American domestic industries has been growing at an annual rate of $1600/year since 1985, when the average salary was $25,000.
S(t) = 25,000 + 1600(t - 1985)
The independent variable is the number of years since 1985 (t), and the dependent variable is the average salary (S).
(d) The cost of gas purchased from a utility company is given by the formula C(g) = 13 + 10.5g, where C(g) is the cost in dollars for g thousand cubic feet of gas.
a. Find C(0), C(5), and C(10).
C(0) = 13 + 10.5(0) = 13
C(5) = 13 + 10.5(5) = 13 + 52.5 = 65.5
C(10) = 13 + 10.5(10) = 13 + 105 = 118
b. The cost if the customer uses no gas is $13.
c. The rate per thousand cubic feet charged for using the gas is $10.5.
d. If the customer uses 94 thousand cubic feet of gas, the cost would be:
C(94) = 13 + 10.5(94) = 13 + 987 = $1000.
To know more about linear function
https://brainly.com/question/29205018
#SPJ11
There is a growing movement in the United States led by the progressive wing of the Democratic Party to have the federal minimum wage raised to $15/hr. Some people agree with the $15/hr minimum wage for the United States, while others oppose raising the minimum wage. The arguments against raising the minimum wage range from the government should not dictate salaries to it will cause low wage workers to lose their jobs since businesses cannot afford a $15/hr minimum wage.
Do you agree with a $15/hr federal minimum wage? The current federal minimum wage in the United States is $7.25/hr. Fully explain your position on this issue in 2 - 3 paragraphs.
Source: Surviving an Unlivable Wage l Full Documentary (Financial Literacy)
Answers
In my opinion, minimum wage should be increased because an increase in minimum wage would reduce poverty, increase consumer spending, and promote economic growth.
Why Should Minimum Wage be Increased?Minimum wage has not kept pace with inflation, and that the current federal minimum wage of $7.25/hr is not a living wage in most parts of the United States. A $15/hr minimum wage would provide a more realistic living wage for many low-wage workers, but there is disagreement on whether this should be achieved through federal legislation or through individual state action.
Ultimately, whether or not to raise the minimum wage is a complex issue that involves balancing the needs of workers, businesses, and the overall economy. It is important for policymakers to carefully consider the potential impacts of any minimum wage increase and to find ways to support low-wage workers without unduly burdening businesses.
Learn more about minimum wage here: https://brainly.com/question/28331168
#SPJ1
What is it called whenever there
is no shortage or surplus in the
market?
Answers
Answer:
Equilibrium
Explanation:
The supply of material meets the demand (intersect) of the people
Answer:
It is called a market equilibrium or equilibrium I believe.
Explanation:
This should be the answer you're looking for.
Good luck on whatever it is you're working on!
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:
Marvin Gaye Company has been having difficulty obtaining key raw materials for its manufacturing process. The company therefore signed a long-term noncancelable purchase commitment with its largest supplier of this raw material on November 30, 2020, at an agreed price of $400,000. At December 31, 2020, the raw material had declined in price to $365,000. What entry would you make on December 31, 2020, to recognize these facts?
Answers
Here is the journal entry you would make on that date, considering the decline in raw material price:
1. Debit "Estimated Liability on Purchase Commitment" for $35,000.
2. Credit "Unrealized Loss on Purchase Commitment" for $35,000.
- The agreed price of the raw materials was $400,000 on November 30, 2020.
- The price of the raw materials declined to $365,000 by December 31, 2020.
- The difference between these two amounts is $35,000 ($400,000 - $365,000).
By recording this journal entry, Marvin Gaye Company is recognizing the decline in the raw material price and creating an estimated liability for the difference in the price on the balance sheet. The unrealized loss is recorded in the income statement as a result of the change in the value of the purchase commitment.
Learn more about raw material here: https://brainly.com/question/825024
#SPJ11
Removing workplace barriers for women and accommodating employees who are physically challenged are ways a business can contribute to (a)environmental protection (b) job safety © workplace diversity (d) employee wellness
Answers
Answer:
workplace diversity
Explanation:
Workplace diversity is the term used to describe a workplace whose employees are composed of varying characteristics, such as gender, age-group, race, ethnicity, sexual orientation, and other attributes. Workplace diversity is achieved through the employer’s deliberate actions to incorporate people from diverse backgrounds.
Workplace diversity improves a company’s reputation and brings on board various perspectives in decision making. It also adds creativity and problem-solving skills to the company.
Select the correct answer.
Angela meets with a new couple to determine their needs for a new home and how large a home they can afford
Answers
Answer:
c is the answer to the question
Explanation:
If my answer is incorrect, pls correct me!
If you like my answer and explanation, mark me as brainliest!
Anissa is considering buying her first home. The house she is interested in buying is priced at $139,000. Anissa qualifies for a 30-year mortgage at 6. 45%. What will be her monthly mortgage payment?.
Answers
The correct answer for monthly-mortgage payment is option A, $874.01.
Step-by-step solution:
EMI formula is :Here,
p = 139000
r = 6.45%
n = 30 years
Now, putting these values in formula we get,
EMI=px(1+r)^n
---------------
[(1+r)^n-1]
so
p = 139000
r = 6.45/12/100=0.005375
n = 30*12=360
Now, putting these values in formula we get,
139000*0.005375(1+0.005375)^360
------------------------------------------------------
(1+0.005375)^360 - 1
= 139000*0.005375*(1.005375)^360
------------------------------------------------------
(1+0.005375)^360 - 1
= $874.01
Anissa is considering buying her first home. The house she is interested in buying is priced at $139,000. Anissa qualifies for a 30-year mortgage at 6. 45%. What will be her monthly mortgage payment?.
A-$874.00
B-$749.44
C-$629.53
D-$805.23
To learn more about EMI, visit:
https://brainly.com/question/12576802
#SPJ4
Can I earn by brainly?
Answers
Answer:
huh?
Explanation:
Which of these people is most likely a freelancer?
a.Zoey, who writes and films video ads for small towns tourism agencies
b.Zane, who works part-time at a fast food restaurant
c. Carson, who builds birdhouses from scratch and sells them at craft shows
d. Carey, who does purchasing for a university bookstore and student union
Answers
Answer:
D and ignore this just random stuff aishdbsskw
Question 7 of 20
A marketing plan includes a number of factors, including the marketing mix.
What is the marketing mix?
A. Using names and symbols to identify the company's products
OB. A plan for spending money
OC. How the company intends for customers to view its product
relative to the competition
OD. The variables of product, price, place, and promotion
SUBMIT
Answers
Answer:
answer is d
Explanation:
yes
Investment industry participants have been able to reduce operating costs over the years because of: A. regulation. B. globalisation. C. computerisation.
Answers
The main reason investment industry participants have been able to reduce operating costs over the years is due to computerisation.(C)
Computerisation has significantly impacted the investment industry, allowing participants to streamline operations, automate processes, and manage data more efficiently.
With advanced software and technologies, tasks that once required manual effort are now performed more quickly and accurately, reducing labor costs and human error.
Additionally, computerisation enables better communication and data sharing among global markets, which can indirectly contribute to cost reduction by increasing efficiency and promoting collaboration.
While regulation and globalisation have also played a role in shaping the industry, computerisation stands out as the primary driver for reducing operating costs.(C)
To know more about operating costs click on below link:
https://brainly.com/question/15699967#
#SPJ11
In which workplace are workers least likely to be injured by heavy equipment? a greenhouse a slaughterhouse a farm a quarry
Answers
Answer:
A green house
Explanation:
a slaughterhouse a farm a quarry
use heavy equipment and even tho they have more safety then a green house you could still even die on the job where in a green house the most you could get a a cut from a knife or something.
Please correct me if I'm wrong LOL
Whom does the government and public administration career clutter serve?
A. Private citizens
B. Army and navy
C. Government employees and the military
D. National security and the foreign service
Answers
Answer:
it is A. Private citizens
Explanation:
edge 2020 :)
T/F:: if a manager is interested in finding the average number of employees who are late to work per day, she would be interested in a measure of central tendency.
Answers
True. If a manager is interested in finding the average number of employees who are late to work per day, she would be interested in a measure of central tendency.
A measure of central tendency is a statistical measure that represents the typical or central value of a set of data. The most common measures of central tendency are the mean, median, and mode. The mean is calculated by adding up all the values in a set of data and dividing by the number of values. It is commonly referred to as the "average." Therefore, if a manager wants to know the average number of employees who are late to work per day, she would need to calculate the mean of the data. However, it is important to note that the mean can be affected by outliers or extreme values in the data, so it is important to consider other measures of central tendency as well.
To know more about central tendency visit:
https://brainly.com/question/19500413
#SPJ11
If you use a student loan to pay for college and drop out, the student loan:
a) disappears because you did not finish college
b) become proportional to how long you stayed in school
c) doubles
d) stays the same. you have to pay the loan whether or not you finish school
Answers
option D, "stays the same. you have to pay the loan whether or not you finish school" is the correct answer.
Why is it?
You use a student loan to pay for college and drop out, you are still responsible for repaying the loan regardless of whether or not you finished school.
The loan does not disappear, nor does it become proportional to how long you stayed in school or double. When you take out a student loan, you sign a loan agreement with the lender that specifies the terms of the loan, including the repayment terms.
Dropping out of college does not change the terms of the agreement, and you are still obligated to repay the full amount of the loan, plus any accrued interest.
Therefore, it is important to consider the financial implications of taking out a student loan and to have a plan for repayment, even if you do not complete your degree.
To know more about Student Loans related question visit:
https://brainly.com/question/24501576
#SPJ1
Property is acquired in a qualifying like-kind exchange. The acquired property sold three months after it is acquired. Which of the following is correct?
Answers
If property is acquired in a qualifying like-kind exchange, it means that it is exchanged for another property that is also classified as a like-kind property.
This exchange is usually done without any immediate cash payment, and the acquired property will have a cost basis that is carried over from the property that was exchanged for it. In the given scenario, if the acquired property is sold three months after it is acquired, then it will be subject to capital gains tax. The amount of tax will depend on the selling price of the property and its cost basis. If the selling price is higher than the cost basis, then the difference will be considered as a capital gain and taxed accordingly. On the other hand, if the selling price is lower than the cost basis, then it will result in a capital loss, which can be used to offset capital gains in the future.
To know more about like-kind property visit :-
https://brainly.com/question/29739805
#SPJ11
Willingness to pay Group of answer choices measures the value that a buyer places on a good. is the amount a seller actually receives for a good minus the minimum amount the seller is willing to accept. is the maximum amount a buyer is willing to pay minus the minimum amount a seller is willing to accept. is the amount a buyer is willing to pay for a good minus the amount the buyer actually pays for it.
Answers
Answer:
measures the value that a buyer places on a good.
Explanation:
A product can be defined as any physical object or material that typically satisfy and meets the demands, needs or wants of customers. Some examples of a product are mobile phones, television, microphone, microwave oven, bread, pencil, freezer, beverages, soft drinks, etc.
Willingness to pay measures the value that a buyer places on a good or product. Thus, when this value is high, the customer would ultimately buy a product and vice-versa.
In which city were the world trade center towers located?.
Answers
Consumer wealth is defined as the total value of ______. Multiple choice question. assets minus the total value of liabilities all investments plus the money in the bank all investments plus the money in the bank minus debt total assets
Answers
Answer:
Assets minus the total value of liabilities
Consumer wealth is defined as the total value of assets minus the total value of liabilities. Thus, the statement "assets minus the total value of liabilities" is the correct statement.
What is the wealth effect?According to the wealth effect, a behavioral economic hypothesis, people spend more money as the value of their possessions increases. Consumers are supposed to feel more financially secure and wealthy as the value of their houses or investment portfolios rises. Even if their income and fixed costs remain the same as before, they are made to feel wealthier.
The wealth effect captures the psychological impact of growing asset prices, such as those that take place during a bull market, on consumer purchasing patterns. The idea focuses on how significant rises in the value of investment portfolios boost consumers' emotions of security, sometimes known as their level of confidence. Increased confidence results in more spending and lower saving rates.
Learn more about the wealth effect, here:
https://brainly.com/question/27328727
#SPJ5
What caused the change in the yen's exchange rate? According to this graph, how has the yen's exchange rate changed?.
Answers
Answer: demand decreased
and
it has fallen
Explanation:
hope this helps <3
Decrease in demand has caused the change in the yen's exchange rate. Due to decrease in demand yen’s exchange rate has fallen.
What is exchange rate?The value of one country's currency in comparison to that of another or an economic region is known as the exchange rate. The majority of exchange rates are free-floating and fluctuate according to market supply and demand. There are some exchange rates that are restricted and not free-floating; instead, they are tied to the value of other currencies.
Exchange rates are typically either free-floating or set. Changes in the foreign currency market cause a free-floating exchange rate to rise and decrease. The value of one currency is linked to a set exchange rate. Spot rates, often known as cash values or market values, are one type of exchange rate that might exist. An exchange rate may also have a forward value, which is determined by predictions of the currency's future worth in relation to its current spot price.
Changes in the foreign currency market cause a free-floating exchange rate to rise and decrease. The value of one currency is linked to a set exchange rate. Spot rates, often known as cash values or market values, are one type of exchange rate that might exist. An exchange rate may also have a forward value, which is determined by predictions of the currency's future worth in relation to its current spot price. For example, USD stands for the United States dollar, while EUR stands for the Euro. EUR/USD is the currency pair that represents the dollar and the euro. It's USD/JPY, or dollar to yen, in the case of the Japanese yen. A conversion rate of 100 means that one dollar equals 100 yen.
One notable example of a nation with a restricted rate structure is China. The Chinese yuan is a currency that the government also controls. The Chinese government decides on a midpoint value for the currency each day, which gives the yuan a trading range of 2% from the midpoint.
To learn more about exchange rate, click here
https://brainly.com/question/879684
#SPJ2
On Sunday, Dawson's flower shop sold 25 arrangements. The materials needed for 25 arrangements cost $250. If he sold each arrangement for $55, what would the net income?
Answers
Answer:
Net Income = $1125
Explanation:
The net income is the difference between the revenue and the total costs incurred to earn that revenue. It can be calculated as follows,
Net Income = Revenue - Total costs
The revenue in the given question can be calculated by multiplying the selling price per arrangement by the number of arrangements sold.
Revenue = 55 * 25
Revenue = $1375
The total cost for materials needed for 25 arrangements is provided and there are no other costs.
Net Income = 1375 - 250
Net Income = $1125