Answer:
Initial Cost = $180
Explanation:
Payback period estimates the time an investment projects resulting cash flows take to recover the initial amount o=invested in the project. A traditional payback period doesnot take present value into account and just focuses on the nominal recovery of the initial investment.
If a capital budgeting project provides inflows of $50 per year and the payback period is 3.6 years, the initial investment is:
3.6 = 50 + 50 + 50 + x
Where x = 0.6 of 50
and x = 0.6 * 50 = 30
Initial cost = 50 + 50 + 50 + 30 = $180
Answer for the photo is on Xtiny/5G
Answer: A. She believes the company has become riskier, and therefore increases her required rate of return for the stock.
Explanation:
The formula for the Constant dividend growth model of valuing stock is:
<em>= Next dividend / (Required return - growth rate)</em>
From the formula above, one can tell that if the required return is higher, it would result in a lower value for stock because it would divide the numerator more.
If the analyst believes that the company is riskier and increases the required return, the value would therefore reduce if other measures are kept constant.
Product A and Product C should be sold at the split-off point
Product B should be processed further.
<h3 /><h3> What is the meaning of joint costs?</h3>
A joint cost is an expenditure that benefits more than one product, and for which it is not possible to separate the contribution to each product.
The accountant needs to determine a consistent method for allocating joint costs to products.
<h3>How to calculate joint variable cost?</h3>
One of the simplest methods to apportion joint cost is the average unit cost method.
Here, the average cost per unit is calculated by simply dividing the total cost of all the joint products incurred before their splitting-off, by the total of the number of units produced all together.
Learn more about joint cost here:
<h3>
brainly.com/question/15276894</h3><h3 /><h3>#SPJ4</h3>
Answer:
19.76%
Explanation:
The computation of the return on equity is shown below:
Return on equity = net income ÷ total stockholder equity
where,
Net income is $733
And, the total stockholder equity is
= Common stock + retained earning
= $2,950 + $760
= $3,710
So, the return on equity is
= $733 ÷ $3,710
= 19.76%
We simply applied the above formula
