Ariana, inc., is considering a project that will result in initial aftertax cash savings of $3.8 million at the end of the first year, and these savings will grow at a rate of 1.9 percent per year, indefinitely. The firm has a target deb-equity ratio of .55, a cost of equity of 10.6 percent, and an aftertax cost of debt of 3.2 percent. The cost-saving proposal is somewhat riskier than the usual project the firm undertakes; management uses the subjective approach and applies an adjustment factor of +2 percent to the cost of capital for such risky projects. Under what circumstances should the company take on the project?
Answers
Since the NPV is positive, the project is expected to generate value for the firm and should be undertaken. However, the decision also depends on other factors such as the availability of funds, the company's overall risk profile, and potential alternative projects with higher NPVs.
To determine whether Ariana, Inc. should take on the cost-saving project, we need to calculate the project's net present value (NPV) using the company's weighted average cost of capital (WACC) adjusted for risk.
First, we calculate the WACC using the target debt-equity ratio and the given cost of equity and aftertax cost of debt:
WACC = (E/V) * Re + (D/V) * Rd * (1 - Tc)
where E is the market value of equity, D is the market value of debt, V is the total value of the firm (E + D), Re is the cost of equity, Rd is the aftertax cost of debt, and Tc is the corporate tax rate.
Assuming that the market value of the firm is equal to the book value, we have:
E/V = 0.45
D/V = 0.55
Re = 10.6%
Rd = 3.2%
Tc = not given
Using the target debt-equity ratio, we get:
WACC = 0.45 * 10.6% + 0.55 * 3.2% * (1 - Tc)
WACC = 6.09% + 1.44% * (1 - Tc)
WACC = 6.09% + 1.44% - 1.44% * Tc
Next, we adjust the WACC for risk by adding 2% to the cost of capital:
WACC' = WACC + 2%
WACC' = 6.09% + 2%
WACC' = 8.09%
Using the adjusted WACC, we can calculate the project's NPV:
NPV = -Initial investment + (CF1 / (1+WACC')¹) + (CF2 / (1+WACC')²) + ...
where CF is the aftertax cash flow in each period.
In this case, the initial aftertax cash savings is $3.8 million, and the cash flows grow at a rate of 1.9% per year indefinitely. Assuming an initial investment of $0, we get:
NPV = -$0 + ($3.8 million / (1+8.09%)¹) + ($3.8 million * 1.019 / (8.09% - 1.9%))
NPV = $13.4 million
The project should be taken by the company and it depends on various circumstances.
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Related Questions
Caleb's income is generated by a base salary per month and a commission on sales. His income from the last 4 months is recorded in this table. Which statement is true based on the table of Caleb's income?
A. Caleb's base salary is $2,000 and he earns 2.6% interest on the sales he makes.
B. Caleb's base salary is $1,000 and he earns 4.4% interest on the sales he makes.
C. Caleb's base salary is $1,260 and he earns 0.6% interest on the sales he makes.
D. Caleb's base salary is $2,200 and he earns 6% interest on the sales he makes.
Answers
Answer:
D. Caleb's base salary is $2,200 and he earns 6% interest on the sales he makes.
Explanation:
Caleb earns an interest of 6% on the sales he makes. Caleb has base salary of $2,200 on which he earns interest. He pays taxes and the residual income is invested in various projects.
Which of the following recruitment step is demonstrated by placing an ad
within the classifieds section of a newspaper?
A. Determine availability of qualified candidates
B. Post job and implement recruitment plan
C. Develop position description
D. Identify open positions and evaluate need
Answers
Answer:
D
Explanation:
Consider a simple economy that produces two goods: cupcakes and oranges. The following table shows the prices and quantities of the goods over a three-year period.
Use the information from the preceding table to fill in the following table.
Answers
Answer:
Nominal GDP
= (Price of cupcakes in year * quantity of cupcakes in year) + (Price of oranges in year * quantity of oranges in year)
2018
= (2 * 125) + (3 * 155)
= $715
2019
= (4 * 135) + ( 3 * 210)
= $1,170
2020
= (2 * 125) + (3 * 165)
= $745
Real GDP using 2018 as base year:
= (Price of cupcakes in 2018 * quantity of cupcakes in year) + (Price of oranges in 2018 * quantity of oranges in year)
2018
= (2 * 125) + (3 * 155)
= $715
2019
= (2 * 135) + (3 * 210)
= $900
2020
= (2 * 125) + (3 * 165)
= $745
GDP Deflator
= Nominal GDP in year / Real GDP in year * 100
2018
= 715/715 * 100
= 100
2019
= 1,170 / 900
= 130
2020
= 745/745 * 100
= 100
entrepreneurship is best understood and appreciated as a means of creating value for others.
a. true b. false
Answers
Entrepreneurship is best understood and appreciated as a means of creating value for others which is true. Entrepreneurship is indeed best understood and appreciated as a means of creating value for others.
Entrepreneurship is indeed best understood and appreciated as a means of creating value for others. At its core, entrepreneurship involves identifying opportunities and creating innovative solutions that meet the needs and desires of customers or society. Successful entrepreneurs create value by developing new products, services, or business models that improve people's lives, solve problems, or fulfill unmet demands.
By focusing on creating value for others, entrepreneurs can build sustainable businesses and establish strong relationships with customers. The ability to provide value is a key driver of entrepreneurial success and growth. Entrepreneurs who prioritize creating value are more likely to attract customers, generate profits, and contribute to economic development.
Therefore, it can be affirmed that entrepreneurship is best understood and appreciated when viewed as a process of creating value for others.
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Disadvantages of choosing a job that is extremely popular or in demand
Answers
The disadvantage of choosing a job that is very popular or a job that is in high demand is that after a while such a job may become saturated or it would become monotonous.
What is a high demand job?This is the term that is used to refer to a job that the people that wpould employ labor are constantly in need of. Such a job is one that would require the people that have the qualification to opt in and get the places and the roles that they are to fill.
The issues that may arise from such a job that is in high demand is that after a period, such a job may have a lot of persons that would want to fulfil the role.
The number of qualified persons may become more than the job that is available for the people to do in the long run.
Hence this is a disadvantage. Therefore I would conclude by saying that the disadvantage of choosing a highly popular job is that the number of persons that are willing to fulfil the role may exceed the job overtime.
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The value of any asset is the present value of the cash flows the asset is expected to provide. The cash flows a business is able to provide to its investors is its free cash flow. This is the reason that fcf is so important in finance.
Answers
True, The value of any asset is the present value of the cash flows the asset is expected to provide. A company's free cash flow is the cash flow it can offer to its investors. This is why FCF is so crucial in the world of finance.
What is cash flow?A real or imagined movement of money is called a cash flow.
The phrase "cash flow" is typically used to represent payments that are projected to happen in the future, are thus unknown, and so need to be forecast using cash flows; a cash flow in its restricted sense is a payment (in a currency), especially from one central bank account to another;
A cash flow's time t, nominal quantity N, currency CCY, and account A are what make it up; symbolically, CF = CF
However, it is common to use the term "cash flow" in a broader meaning to describe (symbolic) payments into or out of a company, project, or financial product.
Value, interest rate, and liquidity are only loosely correlated with cash flows. A cash flow that will occur on day t(N) in the future can be changed into a cash flow with the same value on day t0.
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Which statement most accurately describes a conflict of commitment? It involves a monetary gain by one party over another party. It occurs when outside activities interfere with one’s responsibilities to an employer. It occurs when an institution does not follow the financial rules from a funding source. It can only occur between an institution and an outside organization.
Answers
Answer:
It occurs when outside activities interfere with one's responsibilities to an employer
Explanation:
Conflict of commitment occurs when the commitment of an employer to a defined terms of employment is shared with other engagements, either personal or with other parties which could lead to a decline in efficiency due to loss of maximum concentration.
This may not necessarily involve monetary gain but has a whole lot of ways through which it can affect productivity as concentration is shared.
It is always good to define activities that constitute conflict of commitment right from the time of forming an employment contract so that an employee can be guided with it.
In order for a check to be legal tender it must be?
O Authorized
O Certified
Signed
O Processed
Answers
Answer:
certified signed
Explanation:
that signature come from police
Answer:
certified signed
Explanation:
The check only have power or in other words legit when only have the certification from the bank or the treasury.
_____ deals with reporting to outsiders. _____ accounting deals with the internal operations of the firm.
Answers
Answer:financial accounting, managerial accounting
Explanation:
External reporting is a focus of financial accounting. Managerial accounting is concerned with a company's internal operations.
Why is managerial accounting more suitable for internal reporting?The information is more precise, timely, and specialized in managerial accounting. Since managerial accounting is not subject to GAAP, there is an infinite amount of flexibility in the kinds of reports and data gathered.
The first type of accounting was financial accounting. It is mostly limited to the creation of financial statements for use by third parties such as creditors, banks, financial institutions, shareholders, and holders of debentures.
Managerial accounting is primarily concerned with assessing the internal requirements of businesses and resolving issues that have an impact on revenue streams, overall financial stability, and long-term profitability.
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Is creating or acquiring companies that share similar products, manufacturing, marketing, technology, or cultures?
Answers
Creating or acquiring companies that share similar products, manufacturing, marketing, technology, or cultures is a common practice in business.
Similar products: Companies often acquire or merge with other companies that have similar products in order to expand their market share or diversify their product offerings. For example, a company that produces smartphones might acquire another company that also produces smartphones but has a different target market or distribution network.
Manufacturing: Companies may choose to acquire or create new companies that share manufacturing capabilities in order to streamline operations and reduce costs. This could involve acquiring a company that has advanced manufacturing technology or expertise in a specific area. Marketing: Companies may acquire or merge with other companies that have similar marketing strategies or target similar customer segments.
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parson's pretax accounting income in year 2 is $100,000. parson deducts depreciation for tax purposes in excess of accounting depreciation of $5,000 in year 1 and $10,000 in year 2. it is expected the depreciation deduction will reverse $7,000 in year 3 and $8,000 in year 4. the income tax rate is 40%. which of the following entries is included in the journal entry to record deferred taxes at the end of year 2
Answers
Shein is a Chinese fast-fashion e-commerce company founded in 2008 by Chris Xu that has grown to become one of the largest online fashion retailers in the world with a presence in over 220 countries and regions.
Shein's success can be attributed to its ability to offer trendy and affordable clothing that appeals to its young and fashion-conscious customer base.
The company utilizes a highly efficient supply chain and production process that allows it to quickly produce and distribute new products, often within days of a trend appearing on social media or runways.
Additionally, Shein heavily invests in digital marketing and social media influencers to promote its products and increase brand awareness. Despite facing criticism over ethical concerns related to its fast fashion model, Shein continues to experience rapid growth and expansion.
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What is not a determinant of ped.
Answers
Answer:
Goods on which consumer spend less proportion of his income has an inelastic demand like a needle and newspaper. But the amount of income of a consumer does not affect the price elasticity of demand. Consumer's income has no relation with the price elasticity of demand for a particular good.
Explanation:
Provide an understanding as to the scope,
breadth of employability in OT (e.g. income)and
specific business aspects of OT Practice in Miami
Answers
Occupational therapy (OT) is a field that offers a wide scope of employment opportunities and a varied range of practice areas.
In Miami, specifically, there are several business aspects and opportunities related to OT practice.
Scope and Breadth of Employability in OT:
1. Healthcare Settings: Occupational therapists can work in hospitals, rehabilitation centers, clinics, and nursing homes, providing direct patient care and rehabilitation services.
2. Schools and Educational Institutions: OTs work with children in schools to address their functional needs and support their participation in academic and social activities.
3. Mental Health and Behavioral Health: OTs play a crucial role in mental health settings, working with individuals experiencing mental health challenges to enhance their daily functioning and promote independent living.
4. Community-Based Programs: Occupational therapists may work in community settings, providing support to individuals with disabilities or chronic conditions to help them engage in meaningful activities and improve their quality of life.
5. Workplaces and Vocational Rehabilitation: OTs assist individuals in returning to work or making occupational adjustments due to injury, illness, or disability.
Income Potential in OT:
The income in the field of occupational therapy can vary based on factors such as experience, specialization, location, and work setting. Generally, occupational therapists earn a competitive salary that reflects their expertise and the demand for their services. In Miami, the income potential for OT practitioners can be influenced by factors such as cost of living and local market conditions.
Specific Business Aspects of OT Practice in Miami:
1. Private Practice: Occupational therapists can establish their own private practices in Miami, offering specialized services to clients and working with healthcare providers and insurance companies to ensure reimbursement for services rendered.
2. Collaborations with Healthcare Facilities: OTs can partner with hospitals, clinics, and other healthcare facilities in Miami to provide comprehensive rehabilitation services, occupational health programs, or specialized therapy services.
3. Home Health Agencies: Occupational therapists can work with home health agencies, providing in-home therapy services to individuals who are unable to travel to a clinic or hospital.
4. Research and Innovation: Miami is known for its research institutions and innovation centers. Occupational therapists can participate in research projects, contribute to the development of new treatment approaches, and collaborate with academic institutions.
Overall, the scope of employability in occupational therapy is broad, with opportunities in various settings and areas of specialization. In Miami, the vibrant healthcare industry and diverse population create a favorable environment for OT practice, offering a range of business opportunities and the potential for professional growth.
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Economic activities that involve the extraction of natural resources, such as lumbering, fishing, mining, and agriculture, are called:.
Answers
you must recommend one of the 7 actions outlined at the end of the case (i.e., mass media advertising, franchising, targeting men, etc.). please justify your choice while appreciating the trade-offs that you make by recommending this action. in your analysis, please make sure that you discuss the other six strategies (i.e., why you do not recommend them). provide evidence from the case and videos to support your recommendation.
Answers
The best action for Gristede's to take in order to improve their market share is to target men with their marketing campaigns.
This strategy will have multiple benefits for Gristede's. Firstly, by targeting men, Gristede's can capitalize on the growing population of men who are interested in health and wellness and are looking for convenient food options. This will help Gristede's reach a larger target audience and attract more customers. Additionally, targeting men with their marketing campaigns will help Gristede's differentiate itself from its competitors, as most competitors focus on women. Furthermore, targeting men could help Gristede's target different types of customers, such as business professionals and young people.
At the same time, there are certain trade-offs to consider when recommending this strategy. For example, targeting men with marketing campaigns could lead to Gristede's losing focus on its female customers. Additionally, Gristede's will have to invest more resources and funds into this marketing strategy in order to be successful. Finally, Gristede's may have to create different types of marketing materials tailored to the male demographic in order to be successful in this strategy.
To support this recommendation, the case study and videos discuss the potential benefits of targeting men with Gristede's marketing campaigns. Additionally, the case study mentions that the majority of Gristede's competitors are primarily targeting women, thus suggesting the potential benefits of targeting men. Finally, the case study mentions that the increasing demand for convenience food among the male demographic presents an opportunity for Gristede's to capture a larger market share.
Overall, targeting men with Gristede's marketing campaigns is the best option to increase their market share. By targeting men, Gristede's can capitalize on the growing demand for convenient food options, differentiate itself from its competitors, and reach a larger target audience. However, Gristede's must be mindful of the potential trade-offs associated with this strategy.
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A popular soft drink is sold in 2-liter (2000-milliliter) bottles. Because of variation in the filling process, bottles have a mean of and a standard deviation of 16 milliliters, normally distributed. Complete parts a and b below.
Answers
Answer:
The answer is below.
Explanation:
The z score is a used in statistics to determine by how many standard deviations the raw score is above or below the mean. The z score is given by:
\(z=\frac{x-\mu}{\sigma}\\\\where\ x=raw\ score, \mu=mean,\sigma=standard\ deviation\\\\For\ a\ sample\ size(n):\\\\z=\frac{x-\mu}{\sigma/\sqrt{n} }\)
a) Given that n = 100, μ = 2000, σ = 18
For x < 1995 millimeters:
\(z=\frac{x-\mu}{\sigma/\sqrt{n} }=\frac{1995-2000}{18/\sqrt{100} } =-2.78\)
From the normal distribution table, P(x < 1995) = P(z < -2.78) = 0.0027
b) P(z > z*) = 10% = 0.1
P(z < z*) = 1 - 0.1 = 0.9
z* = 1.28
\(z*=\frac{x-\mu}{\sigma/\sqrt{n} }\\\\1.28=\frac{x-2000}{18/\sqrt{100} }\\\\x-2000 =-2.304\\\\x=2002.3\ ml\\\\\)
From the normal distribution table, P(z < z
Divesting of businesses can accomplish many different objectives, except Multiple Choice enabling managers to focus their efforts more directly on the core businesses of the firm. О providing the firm with fewer resources to spend on more attractive alternatives. raising cash to help fund existing businesses. providing the firm with increased cash resources.
Answers
Divesting of businesses can accomplish many different objectives, except providing the firm with increased cash resources. Thus, its D.
What is a business?The fundamentals of business, management, and economics are the focus of the study area known as business studies, or just business. It incorporates components from operations, marketing, organizational studies, finance, accounting, and finance.
A general understanding of the numerous components of running a business is intended to be provided to students via the wide range of topics covered in the discipline of business studies.
Business education is the term for the teaching of business studies. A large portion of the corporate sector is included in the public sector in state capitalism systems.
State-owned firms may cross any boundary between the public and private sectors in mixed economies, giving analysts the ability to refer to a "state-owned enterprise sector."
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In what year did professional soccer become a legalized sport?
Answers
Answer:
1885
Explanation:
Answer:
1863
Explanation:
On December 8 1863, Association Football and Rugby Football finally split into two different organizations after quite some time. Later on in the year, the first ever soccer match was played at Mortlake, London on 19th December 1863 between Barnes Football Club and Richmond Football Club.
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3. Which of the following is a liability?
a) buildings
b) accounts receivable
c) loan from J. Henry
d) equipment
Answers
Answer:
buildings
Explanation:
Because if you own buildings you have to take care of them and you make sure you have them clean make sure nothing is wrong if a person complains find the problem and make it better and a loan will put you in a lot of debt to that person instead of making your own money.
Why is choosing an appropriate mortgage potentially even more important than
choosing an appropriate auto loan?
Answers
Here are five considerations to keep in mind as you compare vehicle loans to find the best deal: Annual Percentage Rate (APR) When searching for a car loan, your annual percentage rate, or APR, is a crucial consideration.
Monthly Payment, Loan Term, Loan Amount, Fees and Penalties, and Final Remarks.
You wish to drive a modern car that you won't be able to pay for without financing in a fair amount of time. The moderate interest rate means that the additional costs won't have a big impact on the overall cost of the vehicle. The periodic payments won't put undue strain on your current or next finances.
This rule states that housing costs should not exceed 28% of one's gross monthly income and total debt service should not exceed 36%. This rule is frequently used by lenders to decide whether or not to offer borrowers credit.
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Question 2(Multiple Choice Worth 5 points)
(02.06 MC)
In general, what kind of people earn the most money?
O People with skills that are in high demand and high in supply
O People with skills that are in high demand but low in supply
O People with skills that are in low demand and low in supply
People with skills that are in low demand but high in supply
Answers
They earn the most money since skills also follow the law of supply and demand, so consumers are willing to pay more due to low supply
Income received by households through the lending of their money to corporations and business firms is an example of
income.
Answers
Answer:
Interest / Dividend Income
Explanation:
Answer:
Answer for EDGE is C or Interest
Explanation:
PLEASE ANSWER BOTH OF THE QUESTIONS PLS!!!!!!!!!!!!!!!!!!!!
Answers
What are examples of criteria used in conditional formatting? Check all that apply. less than equal to added to divided by greater than multiplied by
Answers
Answer:
Less than Equal to Greater thanExplanation:
Considering the listed options, the criteria used in conditional formatting are Less than, Equal to and Greater than
To make use of conditional formatting, follow the highlighted steps
1. Highlight cells that you want to format
2. Goto Home tab -> Styles -> then select Conditional Format
3. Select Highlight Cells Rules
4. Select the format type (this is where you get to pick either of greater than, equal to less than, etc.)
5. Enter the format value and how it is to be formatted
6. Press OK
Shareholders preference for dividend versus capital gains can potentially influence a firm's payout policy. i. Explain what is meant by the term dividend policy and discuss the two main issues that can affect such policy. ii. Discuss the key reasons why some investors prefer dividend. iii. Discuss the key reasons why some investors prefer capital gains
Answers
i. Dividend policy refers to the decisions made by a company regarding the amount and timing of dividend payments to its shareholders.
It is a crucial aspect of a firm's payout policy and involves determining whether profits should be distributed to shareholders in the form of dividends or retained within the company for reinvestment. Two main issues that can affect dividend policy are:
1. Stability: Companies need to decide whether to maintain a stable dividend policy, where dividend payments remain relatively constant over time, or adopt a variable policy, adjusting dividends based on earnings and cash flow fluctuations.
ii. Some investors prefer dividends for the following key reasons:
1. Income: Dividends provide a regular income stream for investors, especially those who rely on investment income to cover their living expenses.
iii. Some investors prefer capital gains for the following key reasons:
1. Growth potential: Investors seeking capital gains prioritize the potential for the stock price to increase over time. They believe that by investing in companies with growth prospects, they can achieve higher returns through price appreciation when they eventually sell their shares.
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When making decisions, managers often must decide between doing what is beneficial for the firm in the short term, and what is beneficial for both the firm and society in the long term. To address this conflict, a firm must
Answers
When making decisions, managers are often faced with a conflict between what is beneficial for the firm in the short-term and what is beneficial for both the firm and society in the long-term.
This conflict arises because the actions that benefit the firm in the short-term may not necessarily align with the interests of society as a whole, which can lead to negative consequences for both the company and society in the long-term.
To address this conflict, a firm must adopt a long-term orientation and consider the broader social and environmental impacts of its decisions. This means looking beyond immediate financial gains and recognizing that actions taken today can have far-reaching implications for the company's reputation, customer loyalty, employee morale, and overall sustainability.
Firms that prioritize social responsibility and sustainable business practices are more likely to build strong relationships with stakeholders, including customers, employees, investors, and regulators. They are also better equipped to weather economic downturns and other disruptions, as they have diversified their risk and invested in building resilient supply chains and communities.
Ultimately, the key to addressing the conflict between short-term gains and long-term benefits is a commitment to corporate social responsibility (CSR) and sustainable business practices. By prioritizing the needs of society and the environment alongside those of shareholders, firms can create value for all stakeholders over the long-term, ensuring their continued success and impact.
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Two grams of musk oil are required for each bottle of mink caress, a very popular perfume made by a small company in western siberia. the cost of the musk oil is $2.10 per gram. budgeted production of mink caress is given below by quarters for year 2 and for the first quarter of year 3:
Answers
Answer:
Since there is not enough room here, I used an excel spreadsheet and attached it.
Explanation:
Year 2 Year 3
First Second Third Fourth First
Budgeted prod. 84,000 114,000 174,000 124,000 94,000
in bottles
Musk oil has become so popular as a perfume ingredient that it has become necessary to carry large inventories as a precaution against stock-outs. For this reason, the inventory of musk oil at the end of a quarter must be equal to 20% of the following quarter’s production needs. Some 33,600 grams of musk oil will be on hand to start the first quarter of Year 2.
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Answers
thank you
explanation:
application of marginal cost
Answers
Marginal cost is a concept widely used in economics and business to make informed decisions about resource allocation and pricing. Its application can be seen in various areas:
Production and Pricing: Marginal cost helps businesses determine the optimal level of production by comparing the additional cost of producing one more unit with the additional revenue generated. It assists in setting prices that cover variable costs and contribute to profit maximization.
Investment Analysis: When considering investment decisions, businesses analyze the marginal cost of capital to evaluate the potential return on investment. By comparing the expected marginal benefits with the marginal cost of financing, they can assess the viability of investment projects.
Cost Control: Identifying the marginal cost of each activity or input helps in cost control. Businesses can allocate resources efficiently by weighing the incremental cost against the incremental benefit to ensure that resources are used optimally.
Supply Chain Management: Marginal cost analysis aids in optimizing supply chain operations. By assessing the additional cost incurred at different stages of the supply chain, businesses can identify bottlenecks, make informed decisions about outsourcing, and streamline processes to minimize overall costs.
In summary, the application of marginal cost enables businesses to make informed decisions regarding production levels, pricing strategies, investment choices, cost control, and supply chain optimization. It assists in maximizing efficiency and profitability by considering the incremental cost associated with each decision.
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Luis, a professional chef, has carefully developed a set of product attributes for his new line of seasoning mixes, such as the brand name, features/design, and quality level. Luis is developing the.
Answers
For his new product of seasonings mixes, Luis, a trained chef, has meticulously designed a set of product characteristics, including the brand name, functionality, and quality rate. Luis is developing the actual product.
What is a product?An intangible marketing strategy that is employed to call for a business and its products or one of its many market segments can be described as a brand. It basically functions as a signal that the client can use to explain the goods.
As Luis has a whole plan which is justified and all the things are ready for it then he's starting a new product line that will help in developing the product, product characteristics, as well as the marketing strategy and brand name, which will be implemented. Thi8s is an actual product development.
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