The net present value method Group of answer choices all of the above. is consistent with the goal of shareholder wealth maximization. recognizes the time value of money. uses all of a project's cash flows.

Answers

Answer 1

Answer:

all of the above

Explanation:

Net present value is the present value of after-tax cash flows from an investment less the amount invested.  

Only projects with a positive NPV should be accepted. A project with a negative NPV should not be chosen because it isn't profitable.  

When choosing between positive NPV projects, choose the project with the highest NPV first because it is the most profitable.  This ensures that shareholder wealth is maximised

The NPV method uses discounted cash flows. so the time value of money is considered


Related Questions

Each of the three independent situations below describes a finance lease in which annual lease payments are payable at the beginning of each year. The lessee is aware of the lessor's implicit rate of return. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.)
Situation
1 2 3
Lease term (years) 12 20 4
Lessor’s rate of return (known by lessee) 11% 9% 12%
Lessee’s incremental borrowing rate 12% 10% 11%
Fair value of leased asset $620,000 $1,000,000 $205,000
Required:
a. Determine the amount of the annual lease payments as calculated by the lessor and above situations.
b. Determine the amount lessee would record as a leased asset and a lease liability for above situations.

Answers

Answer:

Answer is explained in the explanation section below.

Explanation:

Data Given:

Situations:

Lease Term years:

1. 12

2. 20

3. 4

Lessor’s rate of return (known by lessee):

1. 11%

2. 9%

3. 12%

Fair value of leased asset:

1. $620,000

2. $1,000,000

3. $205,000

a)  For Situation 1:

Here, lease is a financial agreement between two parties Lesse and Lessor.

So,

Formula for annual lease payments is:

Annual lease payments = Fair value of assets divided by Present value for annuity due.

Here,

we use the following data to calculate the annual payments.

Fair Value of Assets of the leased asset = $620,000

Lease term = 12 years

Lessor's rate of return = 11%

So, the present value of annuity due 12 years at the rate of 11% is 7.2065

Plugging in the values in the formula we get:

Annual lease payments = [tex]\frac{620,000}{7.2065}[/tex]

Annual lease payments = $86,033.44

b)

Formula for the lease ability = Annual rent payment multiply by present value of annuity due.

So,

The annual rent payment is the same that we calculated above.

So,

the lease ability = $86,033.44 x 7.2065

the lease ability = $620,000

For Situation 2:

a)

Annual lease payments = Fair value of assets divided by Present value for annuity due.

we use the following data to calculate the annual payments.

Fair Value of Assets of the leased asset = $1,000,000

Lease term = 20 years

Lessor's rate of return = 10%

So, the present value of annuity due 20 years at the rate of 9% is 9.9501

Annual lease payments = [tex]\frac{1,000,000}{9.9501}[/tex]

Annual lease payments = $100,501.35

b)

Formula for the lease ability = Annual rent payment multiply by present value of annuity due.

the lease ability = $100,501.35 x 9.9501

the lease ability = $1,000,000

For Situation 3:

a)

Annual lease payments = Fair value of assets divided by Present value for annuity due.

we use the following data to calculate the annual payments.

Fair Value of Assets of the leased asset = $205,000

Lease term = 4 years

Lessor's rate of return = 12%

So, the present value of annuity due 4 years at the rate of 12% is 3.4081

Annual lease payments = [tex]\frac{205,000}{3.4801}[/tex]

Annual lease payments = $60,261.66

b)

Formula for the lease ability = Annual rent payment multiply by present value of annuity due.

the lease ability = $60,261.66 x 3.4801

the lease ability = $205,000

The most important aspect(s) of a company's business strategy is figuring out how to become the industry's low-cost provider. deals with how management plans to maximize profits while, at the same time, operating in a socially responsible manner. is figuring out how to maximize profits and shareholder value. concerns how to improve the efficiency of its business model. are the actions and moves in the marketplace that managers take to gain a sustainable competitive advantage.

Answers

Answer:

Are the actions and moves in the marketplace that managers take to gain a sustainable competitive advantage.

Explanation:

Business strategy can be regarded as plans, moves as well as actions that are set up by the company in order to move the business to desired future state that the business envisioned. These are moves that Business takes to attract customers and to compete in a successful way. The Business strategy encompass the goals as well the objectives of the company, the type of the products and the target consumer so that profit can be made. It should be noted that the most important aspect(s) of a company's business strategy Are the actions and moves in the marketplace that managers take to gain a sustainable competitive advantage.

HELP HELP HELP 10 POINTS!!!!!!!!!!!!!! PICTURE PROVIDED!!!!!

Answers

consumable
Services
Durable

Can someone please help what’s the answer

Answers

Answer:

$161,000

Explanation:

Snap repair service accepted the seller counteroffer of $161,000. It means that Snap repair service paid the sum of $161,000 to acquire the land. Snap repair should record the value of the land as $161,000.

As per the guidelines of the generally accepted accounting principles, the value to be recorded is the amount paid to acquire the asset.

HELP HELP 10 POINT FOR YOU ILL MAKE IT 20 HELP HELp

Answers

Cheer up hahahaha kaya moyan
Need points omg I’m abt to fail

What is a broadcast? What pathway do you find this in?

Answers

Answer:

A broadcast is when people talk into the radio and play music and talk like news i think (not sure but hope it helps)

Explanation:

dont know your other ques

Answer:

A broadcast is a frame that is sent from one device and is sent to every other device in that broadcast domain. You can find broadcasts by looking for the IP address and the subnet mask.

Explanation:

Hope this helps! ^^

Blossom Industries produces and sells a cell phone-operated home security control. Information regarding the costs and sales of security controls during May 2020 are provided below.

Unit selling price of security control $49
Unit variable costs $28
Total monthly fixed costs $126,000
Units sold 8,300

Required:
Prepare a CVP income statement for Blossom Industries for the month of May.

Answers

Answer and Explanation:

The preparation of the CVP income statement for the month of May is presented below:

Sales (8,300 units × $49) $406,700

Less: Variable cost (8,300 units × $28) -$232,400

Contribution margin $174,300

Less: Fixed cost -$126,000

Net income $48,300

Bond Corporation issues 5,000, 10-year, 8%, $1,000 bonds dated January 1, 2017, at 103. The journal entry to record the issuance will show a

Answers

Answer and Explanation:

The journal entry to record the issuance of the bond is as follows:

Cash Dr (5,000 × 103) $515,000

Discount on bond payable Dr $4,485,000

        To Bond payable (5,000 × $1,000)  $5,000,000

(Being the issuance of the bond is recorded)

Here cash and discount on bond payable is debited and credited the bond payable

At which rate is total utility increasing: a constant rate, a decreasing rate, or an increasing rate

Answers

Answer:

a decreasing rate.

Explanation:

Total utility of an individual is the satisfaction which is achieved by consuming one additional unit of good. When a person achieves more goods his marginal utility declines. When the total utility is increased, the rate of utility is decreasing.

what is vegetable farming?​

Answers

Vegetable farming is the growing of vegetables for human consumption. The practice probably started in several parts of the world over ten thousand years ago, with families growing vegetables for their own consumption or to trade locally.



hope this helps <33

For each macroeconomic viewpoint, identify whether it is a position held by classical economists, Keynesian economists, or monetarists. If the viewpoint is shared by more than one group, check all that apply.

a. A decrease in aggregate demand will only lead to a temporary departure from full employment output. Since prices and wages are flexible, the economy will automatically adjust to full employment in the long run.
b. The velocity of money, while not constant, is predictable.

Answers

Answer:

a. Classical theory

b. Monetarist school.

Explanation:

Classical theory assumes that the fall in aggregate demand will create temporary affect on employment and ;later in the long run economy will adjust itself and will be at full employment automatically. Keynesian theory believes that demand is the factor which drives the economy. If the economy is at recession then efforts should be made to increase demand which will turn the economy growth upright.

How do you plan to become a responsible consumer? ​

Answers

Answer:

Do not be a Karen :) No no I'm just kidding- a way to be is respect, make sure ur patent, if you talking about the other meaning to it which is eating something the answer for that is to not be picky uhhh yeah I hope this helped

also I know I'm weird forgive me-

BJ Corporation is a cash-basis business. BJ signed a six-month, 12% note payable of $5,000 on October 1st, 2022. By recording the interest expense related to the note only when it is paid on April 1st, 2023, BJ will understate expenses by ________ on its year-end financial statements on December 31st, 2022. A : $5,600 B : $300 C : $0 D : $150

Answers

Answer:

D : $150

Explanation:

The computation of the interest expense understated is given below:

= Note payable amount × rate of months × given months ÷ number of months

= $5,000 × 0.12 × 3 months ÷ 12 month

= $150

Hence, the interest expense that would be understate by $150

Therefore the correct option is d.

Imagine that you want to buy a limited edition book for $100, the publisher decides that consumers won't buy the book at a price higher than $100, so only 500 books are printed. If the publisher turns out to be wrong, and consumers demand 10,000 books, the price will rise (as demand increases, so does price). This rise in price should then prompt the publisher to print more books because the higher the price, the higher the quantity supplied. Find another product that you use everyday and for which the market would react the same way

Answers

9514 1404 393

Answer:

  gasoline

Explanation:

The price of gasoline rises dramatically when there is a perceived shortage. That price rise, in turn, causes producers to seek out sources of supply that previously had been considered uneconomical.

Answer:

Gasoline

Explanation:

#CARRYONLEARNING

Which type of market structure has many small firms that spend money in order to differentiate their products through advertising

Answers

Answer:

c. Monopolistic Competition

Explanation:

Multiple Options "a. Monopoly b. Oligopoly c. Monopolistic competition d. Perfect competition"

Monopolistic Competition is the type of market structure that has many small firms that spend money in order to differentiate their products through advertising. Here, the products are differentiated and the buyers are made aware of these differences through advertising and promotion. These costs represent a significant part of the total cost under monopolistic competition.

Answer:

Monopolistic competition

Assign each of the following to the correct category: A full-time college student multiple choice 1 Employed Unemployed Not in the labor force An accountant working full time

Answers

Answer:

unemployed

employed

Explanation:

afford that. (shouldnt, cant)
11. Circle the collective noun that best fits in the sentence.
1. The ( classroom/herd ) of students read the directions on th
2. Sailing around the (flock / chain of islands, the crew of sa
3. Bears fish in the river as the clouds / runs ) of salmon swa
4.
I ate a (plate / flock) of rice.
5. Running late, I ran up ( flights/pods ) of stairs in record ti
6. Looking up at the sky, I had a glimpse of the packs / gala
7. After the holidays, we had (colonies / heaps) of trash.
Grade 08 - English
(4)
Copying and imita
publishers law!​

Answers

Answer:

Classroom

Chain of Islands

Runs

Plate

Flights

Gala

Heaps

Explanation:

When you include the purchase price and the interest, how much did the video game end up costing you

Answers

Answer:

$75

Explanation:

When the purchase price and interest expense is added in the cost of video game the total cost would be $75. Initially the cost was $40. The interest expense of $10 is added in the price and purchase price of $25 is added in the initial price of video game.

The following graph represents the cost and revenue functions for custom-made computers. How many computers have been sold at the break-even point? A graph has sales on the x-axis and cost times 100 on the y-axis. The cost line goes through (0, 5) and (12, 9). The revenue line goes through (0, 0) and (12, 9). The lines intersect at (12, 9). a. 12 b. 9 c. 5 d. 0 Please select the best answer from the choices provided A B C D

Answers

Answer:

It would be 12

Explanation:

just did the test

Answer:

a

Explanation:

edg 20/21

True or false: Competitive aggression occurs when an organization exploits a distinctive competence or improves an internal efficiency for competitive advantage.

Answers

Answer:

True

Explanation:

The term doesn't sound very nice, since using aggression is generally a negative word. But in this case, competitive aggression refers to improving your own strengths or potential strengths in order to achieve a competitive advantage. there is nothing wrong with it. A company gets better at doing what they do best or could do best and use it on their favor.

Competitive attack raises when a particular organization exploits a distinctive competence or improves an internal efficiency for competitive advantage.

Meaning of competition:

The performance or process of trying to win something others are also trying to win.

In business the competition means,

The Performance of an act or process in to get some more advantage in a particular business by fair means.

Example:

If Samsung increases the number cameras in a mobile phone, then Nokia increases the quality of the mobile cameras.

Hence, To achieve more profits and surviving in the market businessman need to response to the market as a result competition attack arises.

Learn more about competition, refer:

https://brainly.com/question/14755413

In a dispute between Cloud Computing Corporation and Digital Enterprises, Inc., the court applies the doctrine of stare decisis. What is this doctrine

Answers

Answer and Explanation:

Stare decisis is a legal doctrine that creates a liability on the court to follow the historical cases at the time when the ruling would be made in the same case. Also the cases that have the same type of situations and the facts should be approached in the similar way. This term is a latin that means to stand whenever it is decided

Answer:

Under this doctrine, judges are obligated to follow the precedents established within their jurisdictions.

Explanation:

Discuss the differences between the short run equilibrium and long run equilibrium from the perspective of producers and from the perspective of consumers. Why do you think it is important for managers to understand the mechanics of supply and demand in the short run and in the long run? Give an example of a company whose business was either helped or hurt by changes in supply or demand in the markets in which they were competing

Answers

Answer:

In the long-run, the economy tends to favor consumers more than it favors producers.

Explanation:

This is because, in competitive market structures, firms earn economic profit only in the short-run, but in the long-run, this economic profit either disappears, or decreases substantially, because the structure of the market itself provides incentive for a dynamic flux of firms in and out of the industry, and economic profit moves along that flux: it goes up when the number of firm in the industry goes down, and it goes down when the number of firms in the industry goes up.

Managers should understand these dynamics in order to be able to forecast trends and act accordingly, mainly by developing corporate strategy that tackle the forecasted scenarios.

Finally, an example of a business affected by a fall in demand is airline companies. The airline market is very competitive even if it is dominated by a few firms due to very high barriers to entry and exit. Airline companies are constantly pressured to offer lower prices, while costs do not necessarily fall at the same rate. The recent demand shock due to the current pandemic has left most airlines in a dire condition, using up past reserves to operate, and frequently in need of government assistance.

sam has an ivestment of 200 that is expected to earn 10%. how much will the investment be worth at the end of the first year if the investment earns simple interest

Answers

Answer:

$220

Explanation:

Calculation for How much will the investment be worth at the end of the first year if the investment earns simple interest

Investment worth=$200+(10%*$200)

Investment worth=$200+$20

Investment worth=$220

Therefore How much will the investment be worth at the end of the first year if the investment earns simple interest is $220

After a crime has been reported, what is one of the first decisions that the police have to make?

ОА.

Who is guilty

OB.

Whether to arrest the suspect

O c.

Whether to investigate the crime

OD.

Whether to recommend the death penalty

Answers

c. whether to investigate the crime.

What is the unemployment rate if there are 160 million people employed, 10 million people unemployed, and 20 million not in the labor force

Answers

Answer:

7.14%

Explanation:

With regards to the above, we can calculate the unemployment rate as!

= Unemployed people/labor force × 100

= 10,000,000 /140,000,000 × 100

= 7.14%

Laissez-faire is an economic: Multiple Choice precept because it is the logical conclusion of a model with widely held assumptions. theorem because it is the logical conclusion of a model with carefully stated relationships among variables. precept because it is based on a model and normative judgments about the relevance of the model to the real world. theorem because it is based on deductive analysis of a model that is based on assumptions.

Answers

Answer:

Option C (Precept............real world) is the right answer.

Explanation:

Laissez-faire economics seems to be a hypothesis that always constrains government interference.

It maintains that perhaps the financial sector was indeed particularly strong since all the current regime was doing was safeguard the freedom of persons. Subsequently, free-market statisticians predicated on the premise of laissez-faire mostly as an approach to sustainable economic success, because while critics disparaged it for helping to promote unfairness.

The other actions taken are not connected to the circumstance in question. That would be the right response to the above.

The following information is available for Crane Company
Accounts receivable $3,300
Accounts payable 4,100
Interest payable 580
Salaries and wages expense 4,900
Notes payable 31,500
Common stock 50,400
Inventory 2,940
Cash $6,310
Supplies 3,880
Unearned service revenue 820
Service revenue 42,100
Salaries and wages payable 850
Depreciation expense 600
Equipment (net) 109,800
Using the information above, prepare a balance sheet as of December 31, 2022. (List assets in order of liquidity

Answers

Answer:

Crane Company

Balance Sheet

As of December 31, 2022:

Assets

Current Assets:

Cash                           $6,310

Accounts receivable   3,300

Supplies                       3,880

Inventory                     2,940

Total current assets                $16,430

Long-term Assets:

Equipment (net)                      109,800

Total assets                          $126,230

Liabilities and Equity

Current Liabilities:

Accounts payable                     4,100

Interest payable                          580

Salaries and wages payable      850

Unearned service revenue        820

Total current liabilities          $6,350

Long-term Liabilities:

Notes payable                       31,500

Total liabilities                    $37,850

Equity:

Common stock       50,400

Retained Earnings 37,980

Total equity                      $88,380

Total liabilities + equity  $126,230

Explanation:

a) Data and Calculations:

Trial Balance

Cash                             $6,310

Accounts receivable     3,300

Supplies                         3,880

Inventory                       2,940

Equipment (net)        109,800

Depreciation expense    600

Salaries & wages exp. 4,900

Accounts payable                         $4,100

Interest payable                                580

Salaries and wages payable            850

Unearned service revenue              820

Notes payable                               31,500

Common stock                            50,400

Service revenue                           42,100

Retained earnings                          1,380

Totals                       $131,730   $131,730

Beginning Retained Earnings $1,380

Net income                             36,600

Ending Retained earnings   $37,980

Income Statement for the year ended December 31, 2022:

Service revenue                     $42,100

Depreciation expense                  600

Salaries and wages expense    4,900

Total expenses                        $5,500

Net income                            $36,600

Question 3 of 25
During which events is it most likely that sheltering in place is the best option?
Select the 3 answer options that apply.

Tornado
Chemical release
Fire
Biological contaminant release

Answers

Answer:

Tornado ,Chemical release and Biological contaminant release

Explanation:

I just took it.

n order to build a new warehouse facility, the regional distributor for Valco Multiposition Valves borrowed $1.6 million at 12% per year interest. If the company repaid the loan in a lump sum amount after 2 years, what was the amount of the payment

Answers

Answer:

the amount of the payment is $2,007,040

Explanation:

The computation of the amount of the payment is as follows:

= Borrowed amount × (1 + rate of interest)^number of years

= $1,600,000 × (1 + 0.12)^2

= $2,007,040

We simply applied the future value formula to determine the amount of the payment

Hence, the amount of the payment is $2,007,040

On January 1, 1980, Jack deposited 1,000 into Bank X to earn interest at the rate of j per annum compounded semi-annually. On January 1, 1985, he transferred his account to Bank Y to earn interest at the rate of k per annum compounded quarterly. On January 1, 1988, the balance at Bank Y is 1,990.76. If Jack could have earned interest at the rate of k per annum compounded quarterly from January 1, 1980 through January 1, 1988, his balance would have been 2,203.76. Calculate the ratio kjkj.

Answers

Answer:

Ratio k/j is 1.25.

Explanation:

Note: There is a slight typographical error in the requirement. The requirement is therefore correctly stated as follows:

Calculate the ratio k/j.

The explanation of the answer is given as follows:

This can be calculated using the following formula:

A = P (1 + (r / m))^(tm) ……………………….. (1)

Where;

A = Balance

P = Amount invested

r = annual interest rate

t = number of years

m = number of compounding

From the question, there are 2 alternatives as follows:

Alternative A

For Bank X

P1 = $1,000

r1 = j

t1 = number of years from 1980 to 1985 = 5

m1 = semiannual = 2

A1 = Amount transferred to Bank Y = P2 = ?

For Bank Y

P2 = ?

r2 = k

t2 = number of years from 1985 to 1988 = 3

m2 = quarterly = 4

A2 = $1,990.76

Alternative B

For Bank Y only

P3 = $1,000

r3 = k

t3 = number of years from 1980 to 1988 = 8

m3 = quarterly = 4

A3 = $2,203.76

For Bank Y in alternative B, we can use equation (1) and solve for k as follows:

2,203.76 = 1000 * (1 + (k / 4))^(8 * 4)

2,203.76 / 1000 = (1 + (k / 4))^32

2.20376 = (1 + (k / 4))^32

2.20376^(1/32) = 1 + (k / 4)

1.02500004450895 = 1 + (k / 4)

1.02500004450895 - 1 = k / 4

0.02500004450895 = k / 4

k = 0.02500004450895 * 4

k = 0.10

For Bank Y in alternative A, we can use r2 = k = 0.10. Therefore, using equation (1) for Bank Y in alternative A, we can solve for P2 as follows:

1,990.76 = P2 * (1 + (0.10 / 4))^(3 * 4)

1,990.76 = P2 * 1.3448888242463

P2 = 1,990.76 / 1.3448888242463

P2 = $1,480.24

From Bank X in alternative A, we now have A1 = P2 = $1,480.24. For Bank X in alternative A, we can now use equation (1) and solve for j as follows:

1,480.24 = 1,000 (1 + (j / 2))^(5 * 2)

1,480.24 / 1,000 =(1 + (j / 2))^10

1.480.24 =(1 + (j / 2))^10

1.480.24^(1 / 10) = 1 + (j / 2)

1.03999969894693 - 1 = j / 2

0.03999969894693 = j / 2

j = 0.03999969894693 * 2

j = 0.08

Since k = 0.10 and j = 0.08, ratio k/j can be calculated as follows:

Ratio k/j = 0.10 / 0.08

Ratio k/j = 1.25

Other Questions
Alang went to the store to buy some walnuts. The price per pound of the walnuts is $7 per pound and he has a coupon for $2.50 off the final amount. With the coupon, how much would Alang have to pay to buy 2 pounds of walnuts? Also, write an expression for the cost to buy pp pounds of walnuts, assuming at least one pound is purchased. A deck of cards contains 26 black cards and 26 red cards. If you are dealt two cards, what is the probability that one is red The two parents shown in (Figure 1) exert upward forcesof Fi = 18 N on the left end of the plank and F2 = 65 Non the right end.How much does the child weigh? TIIMULTIPLE CHOICE QUESTIONHeat is being transferred to thisrabbit through:RadiationConvectionthe color pinkConduction How Many Squares does the Below given picture. Thanks. I need help on these long division questions Maria and Ming start at the same point and drive in opposite directions. Maria drives 32 mph and Ming drives 32 mph. How far apart will they be in 2 hours? A. 96 miles B. 64 miles C. 128 miles D. 138 miles Suppose a country's real GDP is $14 trillion and the population is 200 million. Instructions: Enter your answers as a whole number. a. What is this country's real GDP per capita What territories did the United States acquire as a result of the Spanish-American War? SOMEONE PLEASE ANSWER THIS MY ASSIGNMENT IS DUE IN 6MINUTES GEOMETRY*image is attached above* Help will give brainliest!!Give oxidation and reduction half-reactions to the equation provided Can someone help me figure out what -18-6 is I will give brainiest to whoever answers correctly !! A bag contains 15 blue marbles, five red marbles, and 11 green marbles. How many blue marbles must be removed from the 31 marbles in the bag so that the probability of randomly joined a blue marble is 1/3? 3x + 4y = 9-3x - 2y = -3 hyla paid 37.88 for 3 prizzas and a order of garlic rolls if the garlic rolls cost 3.50 how much did each pizza cost Can somebody please help me quickly This box is 3/4 inch long,1/2 inch wide,and 1/4 inch deep.what is the volume of the box? What are the types of asexual reproduction? Describe each.