The after-tax cost of preferred stock to the issuing corporation:
Answer
is the same as the before-tax cost.
is usually lower than the cost of debt.
is dependent on the firm's tax bracket.
none of these.
Answers
The after-tax cost of preferred stock to the issuing corporation is none of these.
The after-tax cost of preferred stock to the issuing corporation refers to the cost of financing that takes into account the tax implications for the corporation. Unlike interest payments on debt, dividends paid on preferred stock are typically not tax-deductible for the issuing corporation. Therefore, the after-tax cost of preferred stock is not the same as the before-tax cost.
Regarding the comparison to the cost of debt, the after-tax cost of preferred stock is generally higher. Interest payments on debt can be tax-deductible for the corporation, reducing the effective cost of debt financing. On the other hand, dividends paid on preferred stock do not have the same tax advantage, resulting in a higher after-tax cost compared to debt.
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TufStuff, Inc., sells a wide range of drums, bins, boxes, and other containers that are used in the chemical industry. One of the company's products is a heavy-duty corrosion-resistant metal drum, called the WVD drum, used to store toxic wastes. Production is constrained by the capacity of an automated welding machine that is used to make precision welds. A total of 2,000 hours of welding time is available annually on the machine. Because each drum requires 0.4 hours of welding time, annual production is limited to 5,000 drums. At present, the welding machine is used exclusively to make the WVD drums. The accounting department has provided the following financial data concerning the WVD drums:
Management believes 6,000 WVD drums could be sold each year if the company had sufficient manufacturing capacity. As an alternative to adding another welding machine, management has considered buying additional drums from an outside supplier. Harcor Industries, Inc., a supplier of quality products, would be able to provide up to 4,000 WVD-type drums per year at a price of $138 per drum, which TufStuff would resell to its customers at its normal selling price after appropriate relabeling.
Megan Flores, TufStuff's production manager, has suggested that the company could make better use of the welding machine by manufacturing bike frames, which would require only 0.5 hours of welding time per frame and yet sell for far more than the drums. Megan believes that TufStuff could sell up to 1,600 bike frames per year to bike manufacturers at a price of $239 each. The accounting department has provided the following data concerning the proposed new product:
The bike frames could be produced with existing equipment and personnel. Manufacturing overhead is allocated to products on the basis of direct labor-hours. Most of the manufacturing overhead consists of fixed common costs such as rent on the factory building, but some of it is variable. The variable manufacturing overhead has been estimated at $1.35 per WVD drum and $1.90 per bike frame. The variable manufacturing overhead cost would not be incurred on drums acquired from the outside supplier.
Selling and administrative expenses are allocated to products on the basis of revenues. Almost all of the selling and administrative expenses are fixed common costs, but it has been estimated that variable selling and administrative expenses amount to $0.75 per WVD drum whether made or purchased and would be $1.30 per bike frame.
All of the company's employees-direct and indirect-are paid for full 40 -hour workweeks and the company has a policy of laying off workers only in major recessions.
Required:
Given the margins of the two products as indicated in the reports submitted by the accounting department, does it make sense to consider producing the bike frames? Explain.
Answers
No, because it took into account allocated fixed expenses as well, the Product Margin as calculated by the Accounting Department should not be used to make such decisions. When making decisions, variable costs should be taken into account.
What is the profit margin?
Profitability is gauged by profit margin. Finding the profit as a proportion of revenue is used to calculate it. Gross profit margin, operating profit margin, and net profit margin are the three different forms of profit margins. Gross profit is multiplied by net sales to determine gross profit margin.
The product's gross profit margin is determined by the discrepancy between the selling price and the product cost. The gross profit margin is divided by the selling price to produce the product margin. Product margin is equal to the product's selling price divided by its cost. Typically, product margins are expressed as percentages.
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In the basic eoq model, if annual demand is 50, carrying cost is $2 per unit per year, and ordering cost is $15, what is the eoq?
Answers
Consider the basic EOQ model. If the annual demand is 50, inventory carrying cost is $2, and ordering cost is $15,
The economic order quantity is 28.
How do you figure out the cost of an order?Example of an Ordering Cost Formula
Because the annual demand is 10,000 units, the company must place 10 orders throughout the year. Business executives use this information to calculate the total order cost for the year, which is $10,000 because 1,000 x $10 in the formula equals $10,000.Although we have identified a number of costs associated with inventory decisions in this chapter, the basic EOQ model only takes into account two of them: carrying cost and ordering cost.The economic order quantity, or EOQ, is a calculation designed to find the optimal order quantity for businesses in order to minimize logistics costs, warehousing space, stock outs, and overstock costs. EOQ equals the square root of [2(setup costs) (demand rate)] / holding costs.The ordering quantity Q* at which the holding cost equals the ordering cost and the total inventory cost is the smallest is referred to as the Economic Order Quantity (EOQ).To learn more about cost of an order refer to
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Q7. Start at one of the corners and move clockwise
around the square finishing in the centre to create a
nine-letter word.
E E
TIMER
os
A
HP
Scroll for details
CC
8:16 /16:05
DELL
Answers
Answer:
EARPHONES
Explanation:
We are to create a nine letter word. Start from any of the corners while moving in a clockwise direction.
There are four corners in the box:
Top left and bottom right corners have blanks, letter in the top right and bottom left corners are E and H respectively.
Hence, we would have 4 possible nine-letter word combination.
Let's state the possible nine-letter words
From the top left corner: _EEA_PHOS
From the bottom left corner: _PHO_EEAS
From the top right corner: EA_PHO_ES
From the bottom right corner: _PHO_EEAS
From the top right corner, we can form the word: EARPHONES
The missing letters are 'R' and 'N'
morgan’s water world (mww), an llc, opened several years ago. mww has reported the following net §1231 gains and losses since it began business. net §1231 gains shown are before the look-back rule.
Answers
The reason you need to consider gains/losses from the past 6 years for determining the amount of net §1231 gain treated as ordinary income in Year 7 is due to the application of the §1231 look-back rule.
The §1231 look-back rule states that if there is a net §1231 gain in the current year (Year 7 in this case) and there were any net §1231 losses in any of the preceding 5 years (Year 1 to Year 6), the net gain in the current year up to the amount of those prior net losses is treated as ordinary income.
In this scenario, Year 7 has a net §1231 gain of $113,000. However, in the preceding 5 years (Year 1 to Year 6), there were net §1231 losses of $(11,000), $(21,000), $(4,000), $(43,000), totaling $(79,000) in losses.
To determine the amount of net §1231 gain treated as ordinary income in Year 7, you need to offset the net gain with the prior net losses. In this case, the net gain of $113,000 in Year 7 is reduced by the total prior net losses of $(79,000), resulting in a remaining net gain of $34,000.
Therefore, in Year 7, $34,000 of the $113,000 net §1231 gain would be treated as ordinary income, while the remaining $79,000 would retain its character as net §1231 gain.
It's important to note that the look-back rule is applied to prevent taxpayers from converting ordinary income into capital gains by timing the recognition of gains and losses. By considering the prior net losses, the rule ensures that any gains following a period of losses are subject to ordinary income tax rates rather than lower capital gains tax rates.
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Morgan’s Water World (MWW), an LLC, opened several years ago and reports the following net §1231 gains and losses since it began business.
Net §1231
Year Gains/(Losses)
Year 1 $(11,000)
Year 2 5,000
Year 3 (21,000)
Year 4 (4,000)
Year 5 17,000
Year 6 (43,000)
Year 7(current year) 113,000
What amount, if any, of the year 7 $113,000 net §1231 gain is treated as ordinary income?
Answer to this question is 57000 which is a sum of Gain/Loss from Year 1 to Year 6.
I thought I should only add Gain/Loss from Year 2 to Year 6 because of 1231 5 year look back rule.
Can somebody explain why we take Gain/Loss for the past 6 years?
Which type of alternative on the make-or-buy continuum involves competitive bidding by external companies hoping to acquire a temporary arrangement with a firm
Answers
The short term contract is the type of alternative that is described in this question.
What is a short term contract?These are the contracts that are offered for only a certain period of time. The time frame for such contracts could be 30 days.
This contract requires competitive bidding by the companies that hope to acquire the temporary arrangement.
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The full cost of attendance to an institute of higher education, including tuition, room and board, books and other costs is known as _____.
A. Sticker price
B. A full ride
C. The reduced price
D: The net cost
Answers
Answer:
A. Sticker Price
Explanation:
The full cost of attendance to an institute of higher education, including tuition, room and board, books and other costs is known as Sticker Price.
which type of review method compares each employee with a fixed standard rather than comparison with other employees?
Answers
Rating method of review compares each employee with a fixed standard rather than comparison with other employees.
In performance management systems, rating scales are used to express an employee's level of achievement or performance.
These scales are frequently employed because they offer quantitative evaluations, are comparatively simple to administer, and help to distinguish amongst employees.
Performance evaluation improves employee performance, finds areas for training and education, places workers in positions where they may excel, and upholds equity in compensation, benefits, advancement, hiring, and firing.
This method aids a company in assessing employee performance levels, boosting effectiveness and productivity, and determining whether to promote or change salaries.
HR managers can also collect quantitative information about numerous employee characteristics in relation to a particular job description using the visual rating scale method.
Hence, an employee's rating as above or below average on a performance evaluation scale avoids comparisons between them.
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6. Ms. Tint of New York City recently sued Mr. Bloom, also of New York
City. She claimed that he had run into and injured her while he was
jogging. She asked for $50,000 in damages. When she filed her suit in
federal district court, Mr. Bloom's attorney immediately objected on two
grounds. What were they?
Answers
2. He also objected on going to federal district court because Mr. Bloom & Ms. Tant were both from the same state.
a) Miranda needs to build new shelves in her pantry to store all these items. She wants to put each type of item on a separate shelf. The shelves will be able to support 25 lbs. Will the new shelves be able to support her current supply of powder goods? Use the conversion table below and a spreadsheet to help you determine the answer. (2 points)
Answers
Answer: yes
Explanation:
Converting each to pounds it equals 13.3 pounds
Miranda needs to build new shelves in her pantry to store all these items. Yes, the new shelves be able to support her current supply of powder goods.
What do you understand by the supply of goods?The following are included in a supply of goods: the agreement-based transfer of property rights over things. the commission-based sale of moving items by an agent or auctioneer.
They must be carrying out an action in their own name under another person's orders. delivery of items under a hire-purchase agreement.
Demand and supply have a strong relationship that influences market equilibrium, which determines the amount of items available on the market and their selling prices.
Here,
Converting each to pounds it equals to 13.3
pounds
Standard 1 pound (lb) = 16 ounces (oz)
Metric 1 kilogram (kg) = 1000 grams (g)
Metric to standard 1 kilogram = 2.20 pounds
Standard to metric 1 pound = 0.45 kilograms
Therefore, Miranda needs to build new shelves in her pantry to store all these items. Yes, the new shelves be able to support her current supply of powder goods.
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Complete question is attached with the image.
Jarrett has five shapes in his document and he would like to be able to move all of the shapes like they are one object. Which of the following tasks should he do?
Answers
If Jarrett has five shapes in his document and he would like to be able to move all of the shapes like they are one object. The tasks he should do is: Group the shapes.
What is tasks?Tasks can be defined as the activities a person or an individual engages in.
Based on the given grouping the shapes will make it easier for Jarrett to to move all of the five shapes like they are one object. In a situation were the shapes were not group it will be difficult to move all the shapes like they are one object.
Therefore If Jarrett has five shapes in his document and he would like to be able to move all of the shapes like they are one object. The tasks he should do is: Group the shapes.
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a government reported the following transfers in its governmental funds statement of revenues, expenditures, and changes in fund balances: (1) a transfer from the general fund to a special revenue fund in the amount of $500,000; (2) a transfer from the general fund to an enterprise fund in the amount of $400,000; (3) a transfer from the general fund to a permanent fund in the amount of $100,000. the amount that would be shown as a transfer out in the governmental activities column in the statement of activities would be:
Answers
The amount that would be shown as a transfer out in the governmental activities column in the statement of activities would be $1,000,000.
Transfers are reported in the statement of activities in the governmental activities column, and they are classified as either operating transfers or non-operating transfers. Operating transfers are transfers that are made between funds that are similar in nature, such as transfers from the general fund to a special revenue fund. Non-operating transfers are transfers that are made between funds that are different in nature, such as transfers from the general fund to an enterprise fund.
In this case, all three transfers are operating transfers, so they would all be reported in the operating transfers section of the statement of activities. The total amount of operating transfers would be $500,000 + $400,000 + $100,000 = $1,000,000.
Therefore, the answer to the question is (1).
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If very small adjustments (less than 1% of total remittances) are made to reconciliation amounts after the final remittance due date for the year and the employer has a clean remittance record, no interest or penalties would be due on
True
False
Answers
The statement is False. If very small adjustments are made to reconciliation amounts after the final remittance due date for the year, even if they are less than 1% of total remittances, interest or penalties may still be due.
While having a clean remittance record is generally favorable, it does not exempt an employer from potential interest or penalties for adjustments made after the due date. The specific rules and regulations regarding interest and penalties for late adjustments may vary depending on the jurisdiction and the governing tax or financial authorities.
When it comes to the remittance of taxes or financial obligations, it is important to adhere to the specified deadlines and requirements. Making adjustments to reconciliation amounts after the final remittance due date is generally discouraged, as it can result in complications and potential consequences.
While small adjustments may seem insignificant, they can still have implications in terms of accuracy and compliance. Even if the adjustments are less than 1% of the total remittances, it does not automatically exempt the employer from interest or penalties. The governing tax or financial authorities typically have guidelines in place regarding late adjustments and may impose interest charges or penalties based on specific circumstances.
Having a clean remittance record is beneficial and demonstrates compliance with the remittance requirements up until the due date. However, it does not guarantee immunity from potential interest or penalties for adjustments made after the deadline. It is crucial for employers to ensure timely and accurate remittances to avoid any potential consequences and maintain compliance with the applicable regulations.
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explain advertisement
Answers
Answer: Advertisement is a marketing communication. It is used to promote businesses and their products. Used to promote more effectiveness in a businesses profit and their sales. May be seen in the form of commercials or billboard announcements in everyday life.
What will happen to the market for video games if consumer income drops?
A. Graph 1
B. Graph 2
C. Graph 3
D. Graph 4
Answers
Answer:
a
Explanation:
Julie and Kristen are partners in a local sporting good store. They needed $51,000 to start the
business. They invested in the ratio of 3:10 respectively. How much money did each invest?
What percent is owned by Kristen?
Answers
3eyy1ggh mi y
1uj gyrju3hxif2 2x ce I I b I 6x9
3/10=x/51000
X=15,300, Julie
51,000-15,300
35,700, Kristen
70% is owned by Kristen
Short-Run Cost The maker of computer memory chips has the following short-run production schedule below (columns A and B). Assume fixed cost is $7000, while the cost of a unit of the variable input, labor hours, is $85. Do the following: Part 1 (Table and Questions): Complete the table and answer questions below the table. Part 2 (Scenarios): Answer the questions based on the described scenarios. Part 1: 1a. Production/Cost Table: Labor Hours Total Product Marginal Product Total Fixed Cost Total Variable Cost Total Cost 0 0 ----------- 1 846 2 2388 3 4482 4 6984 5 9750 6 12636 7 15498 8 18192 9 20574 10 22500 11 23826 12 24408 1b. Based on the data in the table, at what level of output is marginal cost (MC) the lowest? NOTE: You do not need to make any calculation here, but base your answer on information in the table. Output with lowest MC: 1c. At the output level given in 1b., and using values above, calculate average variable, average fixed, average total, and marginal cost. NOTE: Round to two decimal places. Average Variable Cost: Average Fixed Cost: Average Total Cost: Marginal Cost: Part 2 (Scenarios): Scenario 1: Suppose there is a decrease in labor productivity--specifically, a 10 percent reduction in total product at every level of labor hours employed--in the chip-making firm. 2a. For each measure in the matrix below, mark an "X" in the cell that corresponds to how that measure is affected (increase, decrease, or no change) by the decrease in labor productivity. Increase Decrease No Change Marginal Product: Marginal Cost: Average Variable Cost: Scenario 2: In response to the decrease in labor productivity (Scenario 1), the chip maker decreases the number of labor hours employed. (NOTE: For this scenario, assume the chip maker is always operating within Stage II of its production function.) 2b. For each measure in the matrix below, mark an "X" in the cell that corresponds to how that measure is affected (increase, decrease, or no change) by the decrease in labor hours employed. (NOTE: Average fixed cost has replaced average variable cost from 2a.) Increase Decrease No Change Marginal Product: Marginal Cost: Average Fixed Cost: Scenario 3: Suppose the maker of electronic devices bought $1 million worth of memory chips one year ago, holding them in inventory until now. Since the purchase, a more technologically advanced memory chip has been developed, permanently reducing value of the older-technology chips held in inventory to $0.70 million. 2c. From an economic standpoint, what is the cost of using the chips in inventory now? (NOTE: Mark an "X" in the box to the left of your chosen answer.) a. $0 b. $0.30 million c. $0.70 million d. $1 million 2d. What are the sunk costs associated with the chips in inventory? (NOTE: Mark an "X" in the box to the left of your chosen answer.) a. $0 b. $0.30 million c. $0.70 million d. $1 million
Answers
Part 1:
1a. Production/Cost Table:
Labor Hours Total Product Marginal Product Total Fixed Cost Total Variable Cost Total Cost
0 0 - $7,000 $0 $7,000
1 846 846 $7,000 $85 $7,085
2 2,388 1,542 $7,000 $170 $7,170
3 4,482 2,094 $7,000 $255 $7,255
4 6,984 2,502 $7,000 $340 $7,340
5 9,750 2,766 $7,000 $425 $7,425
6 12,636 2,886 $7,000 $510 $7,510
7 15,498 2,862 $7,000 $595 $7,595
8 18,192 2,694 $7,000 $680 $7,680
9 20,574 2,382 $7,000 $765 $7,765
10 22,500 1,926 $7,000 $850 $7,850
11 23,826 1,326 $7,000 $935 $7,935
12 24,408 582 $7,000 $1,020 $8,020
1b. Based on the data in the table, at what level of output is marginal cost (MC) the lowest?
Output with lowest MC: 5
1c. At the output level given in 1b., and using values above, calculate average variable, average fixed, average total, and marginal cost. (Round to two decimal places.)
Average Variable Cost: $85.00
Average Fixed Cost: $823.53
Average Total Cost: $908.53
Marginal Cost: $85.00
Part 2 (Scenarios):
Scenario 1:
2a. For each measure in the matrix below, mark an "X" in the cell that corresponds to how that measure is affected (increase, decrease, or no change) by the decrease in labor productivity.
Measure Increase Decrease No Change
Marginal Product X
Marginal Cost X
Average Variable Cost
Scenario 2:
2b. For each measure in the matrix below, mark an "X" in the cell that corresponds to how that measure is affected (increase, decrease, or no change) by the decrease in labor hours employed.
Measure Increase Decrease No Change
Marginal Product X
Marginal Cost X
Average Fixed Cost X
Scenario 3:
2c. From an economic standpoint, what is the cost of using the chips in inventory now?
a. $0
2d. What are the sunk costs associated with the chips in inventory?
b. $0.30 million
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To calculate the number of montly payments required to pay off a loan or meet an investment goal, use the _______ function.
Answers
To calculate the number of monthly payments required to pay off a loan or meet an investment goal, use the nper function.
In finance, lending is the lending of money by one or more individuals, organizations, or other entities to other individuals and organizations, etc. The beneficiary incurs a debt and usually has to pay interest on that debt until that debt is also repaid. to repay the principal borrowed.
The promissory note will typically state, among other things, the principal amount of the loan, the interest rate charged by the lender, and the date of repayment. A loan involves reallocation of assets in question over a period of time, between the lender and the borrower.
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Betty lives in a state where the minimum legal price for a gallon of milk is $2.50. She convinces a local dairy farmer to sell her milk for $2.00 per gallon instead. Betty and the farmer are participating in a
a. quota. b. price floor c. license. d. black market. e. price ceiling.
Answers
Based on the given scenario, Betty and the local dairy farmer are participating in a black market.
A black market refers to an illegal market where goods or services are traded at prices that are lower than the legal market price, often to avoid government regulations, taxes, or restrictions.
In this case, the state has set a minimum legal price for a gallon of milk at $2.50, which means that any sales below that price would be considered illegal. By convincing the dairy farmer to sell her milk for $2.00 per gallon, Betty is participating in a black market transaction where she is buying milk at a price that is lower than the legal market price.
This type of transaction can be problematic as it can lead to a loss of revenue for the state and legitimate businesses, create unfair market price competition, and potentially compromise the safety and quality of the product being sold. Therefore, it is important to abide by government regulations and participate in legal markets to ensure fair competition and protect the safety and well-being of consumers.
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Sammy says, “I don’t think it’s fair that I have to pay for car insurance when I’m a super safe driver.” Explain why this logic is flawed.
Answers
Answer:
Car insurance isn't in place for people who are bad drivers, although I'm sure it helps them too. It's in place for situations you can never predict. Just because you're a good driver doesn't mean the people around you aren't. You have no control of other people's actions, so you might actually need that insurance Sammy.
Explanation:
im smart
This logic that "I don’t think it’s fair that I have to pay for car insurance when I’m a super safe driver.” is absolutely illogical as the rules and regulations set by the TRANSPORT DEPARTMENT is for every individual travelling on streets by any vehicle whether it is bicycle or a a four wheeler.
What are the Traffic Rules to drive a vehicle?Always have valid documents of the vehicleAlways carry the Driving LicenseDo not drink and driveDo not use Mobile while drivingDo not OverspeedAlways stop at Red LightAlways wear Helmet on Two wheeler and seat belt on Four wheeler.Always have Insurance of the vehicleWhy Insurance of Vehicle is Mandatory?Having Insurance of Car is mandatory because it ensures the financial safety of the person who is driving and also if any casualty happened, it also ensure the financial safety of that person. Casualty can happen because of many reasons and it does not completely depends on the efficiency of the driver.
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Suppose there is a policy debate regarding the United States' imposing trade restrictions on imported ball bearings. Read the following scenario and answer the question that follows. The president of the United States explains that it is necessary to impose trade restrictions, such as a tariff, on the ball-bearing industry to protect workers in the domestic ball bearing industry. The president claims that without trade protection, there will be layoffs, causing many U.S. workers in the ball-bearing industry to become unemployed. Which of the following Justifications is the president using to argue for the trade restriction on ball bearings? Unfair-competition argument Infant-industry argument Jobs argument National-security argument Using-protection-as-a-bargaining-chip argument
Answers
The president is using the "Jobs argument" to justify the trade restriction on imported ball bearings.
By claiming that trade protection is necessary to protect workers in the domestic ball bearing industry, the president argues that without such restrictions, there would be layoffs and unemployment among U.S. workers in that industry. The Jobs argument asserts that imposing trade restrictions will help safeguard domestic jobs by reducing competition from imported products. This justification is commonly employed in policy debates to prioritize the preservation of employment opportunities and economic stability for domestic workers.
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arnold inc. is considering a proposal to manufacture high-end protein bars used as food supplements by body builders. the project requires use of an existing warehouse, which the firm acquired three years ago for $3 million and which it currently rents out for $123,000. rental rates are not expected to change going forward. in addition to using the warehouse, the project requires an upfront investment into machines and other equipment of $1.3 million. this investment can be fully depreciated straight-line over the next 10 years for tax purposes. however, arnold inc. expects to terminate the project at the end of eight years and to sell the machines and equipment for $496,000. finally, the project requires an initial investment into net working capital equal to 10% of predicted first-year sales. subsequently, net working capital is 10% of the predicted sales over the following year. sales of protein bars are expected to be $4.5 million in the first year and to stay constant for eight years. total manufacturing costs and operating expenses (excluding depreciation) are 80% of sales, and profits are taxed at 30%. a. what are the free cash flows of the project? b. if the cost of capital is 15%, what is the npv of the project?
Answers
(A) The free cash flow of the project is -
Year 0: -$1,950,000
Year 1: $320,000
Years 2-8: $320,000
Year 9: $166,000
(B) The NPV of the project is -$204,938.87
Year 0:
Initial investment in equipment and net working capital: -$1,950,000 ($1.3 million + $450,000)
Year 1:
Sales revenue: $4,500,000
Manufacturing costs and operating expenses: -$3,600,000 (80% of sales)
Depreciation: -$130,000 ($1.3 million / 10)
Change in net working capital: -$450,000 (10% of sales)
Cash flow: $320,000
Years 2-8:
Sales revenue: $4,500,000
Manufacturing costs and operating expenses: -$3,600,000 (80% of sales)
Depreciation: -$130,000 ($1.3 million / 10)
Change in net working capital: -$450,000 (10% of sales)
Cash flow: $320,000
Year 9:
Sales revenue: $4,500,000
Manufacturing costs and operating expenses: -$3,600,000 (80% of sales)
Depreciation: -$130,000 ($1.3 million / 10)
Change in net working capital: $0 (net working capital is not needed since the project ends)
Sale of equipment: $496,000
Cash flow: $166,000 ($320,000 - $130,000 + $496,000)
Therefore, the free cash flows of the project are:
Year 0: -$1,950,000
Year 1: $320,000
Years 2-8: $320,000
Year 9: $166,000
b. To calculate the net present value (NPV) of the project, we need to discount the free cash flows to present value using the cost of capital of 15%.
NPV = ( \(\frac{320,000 }{1.15}\)) + ( \(\frac{320,000 }{1.15^2}\)) + ... + ( \(\frac{320,000}{1.15^8}\)) + ( \(\frac{166,000}{1.15^9}\)) - 1,950,000
NPV = $204,938.87
Therefore, at a cost of capital of 15%, the NPV of the project is positive, indicating that it is a good investment for Arnold Inc.
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write me a 8 sentence pitch or more for a donut shop
Answers
Answer:
come down to our donut shop. please come down and get some donuts. we sell the best donuts here. thank you for your consideration.
we hope you enjoy our donuts.
Explanation:
haha
Which money market security is defined as short-term funds transferred between financial institutions, often for no more than one day
Answers
Answer: Federal Funds
Explanation:
The Fed requires that some financial institutions keep a certain proportion of their deposits with the Fed called a reserve requirement. Sometimes, on a daily basis, some financial institutions may not be able to meet up with this requirement whilst other exceed it.
When this happens, those with the excess can return lend those who don't have enough. This is called Federal funds and usually lasts for no more than one day.
economic growth is an increase in a nationals output of goods and services over time.A. TrueB. False
Answers
Answer:
True yes very correct its grows slow and stead
why lemon pickles are not stored in metal utensils?
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Answer:
since lemon pickle is acidic in nature , it. an react with the untensil's metal ( like copper , aluminium, etc ) , to form toxic salts , hydrogen gas and oxides , which lead to oxidation and hence spoliage of pickle
When calculating the effective rate of a loan, which statement or statements must be true if n is greater than 1? I. The length of the loan is greater than a single year. II. The effective rate will exceed the nominal rate. III. The interest will be compounded monthly. A. II only b. II and III c. I and III d. I, II, and III Please select the best answer from the choices provided A B C D.
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If n is more than 1, one or more of the following propositions must be true in order to determine a loan's effective rate: II. The real rate will be higher than the nominal rate. III. Every month, the interest will be compounded.
If n is more than 1 and II, one or more of the assertions must be true in order to determine the effective rate of a loan.
The nominal rate of a loan is the interest rate that is quoted by a lender. The effective rate is the interest rate that is actually paid on a loan, and it takes into account any fees or charges associated with the loan. If the loan has a nominal rate of interest and is compounded monthly, the effective rate of interest will be higher than the nominal rate because of the effects of compounding interest. If the loan is for more than one year, the effective rate will also be higher than the nominal rate because of the effects of compounding interest over time.
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Capitol Supply's sales and sales force have continued to expand. Now, the firm plans to add a fleet of company cars as part of its sales compensation package. For Capitol Supply, these vehicles would represent a ____ purchase.
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Answer:
New-Task.
Explanation:
New-task purchase is that purchase made by a business of which need has not arisen before. The business didn't made decision to make purchase for this new product or purchase before. The new-task purchase decision is made by the business when a need to purchase is perceived internally or by the clients.
In the given scenario, the need to purchase 'cars as part of its sales compensation' defines the criteria of new-task purchase. In this case, Capitol's need to buy or add 'cars' into its sales compensation represents need to make 'New-task purchase.'
Therefore, the correct answer is new-task purchase.
If the ceo of imabigbank is playing prisoners dilemma then, from his perspective , the gains to be had from cooperation are
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If the ceo of imabigbank is playing prisoners dilemma then, from his perspective , the gains to be had from cooperation are larger than the rewards from pursuing self-interest.
What does the oligopoly prisoners' dilemma game theory entail?The prisoner's dilemma is a particular kind of game that demonstrates why oligopolists find it challenging to sustain cooperation even when it is advantageous to both parties. Each actor's primary strategy in this game is to defect. Self-interest, however, results in a less desirable collective outcome.
What is the prisoners dilemma?The prisoner's dilemma is a scenario in which the gains from cooperation are larger than the rewards from pursuing self-interest. It applies well to oligopoly. The story behind the prisoner's dilemma goes like this: Two co-conspiratorial criminals are arrested.
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3
Select the correct answer.
Drafters create plans to help others implement their designs.
OA.
True
OB.
False
Reset
Next
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Answer:
False
Explanation:
Did it on edg 2020
Economics-- please help!
Your country takes in $350 million each year in tax money but chooses to spend $150 million on various services it provides. What type of stance does your country take on fiscal policy?
neutral stance
expansionary stance
economic stance
contractionary stance
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Answer:
It is not A
Explanation:
I chose A and it was wrong sorry hope that narrows it down