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dexar [7]
2 years ago
13

The general rule for using the weighted average cost of capital (WACC) in capital budgeting decisions is to accept all projects

with Multiple Choice rates of return greater than or equal to the WACC. rates of return less than the WACC. rates of return equal to or less than the WACC. positive rates of return.
Business
1 answer:
MrRissso [65]2 years ago
6 0

The general rule is accepting all projects whose rates of return is greater than or equal to the WACC for a capital budgeting decisions

<h3>What is a weighted average cost of capital?</h3>

This means the rate that a firm is expected to pay on average to all its security holders to finance its assets.

Because the weighted average cost of capital represent the firm's opportunity cost, then, it is used by people to evaluate investment opportunities.

Therefore, the Option A is correct.

Read more about WACC

<em>brainly.com/question/25566972</em>

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What is your question?

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One of Josh’s coworkers pokes fun at Josh for his political views. Although Josh tries to ignore the comments, the situation has
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Jones Manufacturing purchased $10,000 of merchandise inventory on account from a vendor and paid a $500 freight bill. The credit
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Answer:

What is the final cost of the merchandise inventory for Jones Manufacturing from this purchase?

$8340

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6 0
4 years ago
(Advanced analysis) The accompanying equations are for a mixed open economy. The letters Y, Ca, Ig, Xn, G, and T stand for GDP,
spayn [35]

Answer:

Equilibrium GDP = C+ I+ G+ X

Where:             Y = GDP

                        C = Ca = a+bYd

                         I  = Ig

                        G = G

                        X =  Xn

                     Yd  = Y-T

                        T =  0.2Y

                       Y  =  C+ I+ G+ X

                       Y  = a + bYd + I +G + X

                       Y  = a + b(Y-T) + I +G + X

                       Y  = a + bY - bT + I +G + X

                       Y  = a + by - b(0.2Y) + I +G + X

                       Y  = a + bY - 0.2Yb + I +G + X

                       Y  =  a + 0.8Yb + I +G + X

         Y - 0.8Yb  =  a + I +G + X

         Y(1 - 0.8b) =  a + I +G + X

                        Y = (a + I +G + X)/(1 - 0.8b)

That is the equilibrium GDP is Y = (a + I +G + X)/(1 - 0.8b)

Explanation:

Equilibrium GDP is also called equilibrium level of national income. This is the condition that must prevail for planned expenditure to exactly equals planned income or output in an economy. this is represented by the general equation of Y  =  C+ I+ G+ X-M but for the purpose of this question M which represent import was not introduced.

The consumption function of C = Ca = a+bYd is a Keynesian consumption function, it shows aggregate planned expenditure by household

Ig represents investment expenditure of the firm

Xn represents export while

G represents government expenditure on goods and services

T represents tax which varies with income level

3 0
3 years ago
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Answer:

True

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However, in situations whereby the handler with the highest priority is unavailable, the agent falls back to the next handler in the list.

Hence, in a situation like this, the correct answer is TRUE

4 0
3 years ago
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