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Temka [501]
2 years ago
6

The net present value (NPV) method estimates how much a potential project will contribute to

Business
1 answer:
Alex777 [14]2 years ago
4 0

This answer requires that we fill in the blanks. The answers are contained in the bullet to fill the missing places

  • shareholder wealth
  • larger the NPV
  • higher stock price.
  • WACC
  • accept the project.
  • higher positive NPV.

<h3>What is the NPV?</h3>

This is the term that is used to refer to the net present value. This is the value that is calculated as the difference between the cash inflows and out flows for over a time period.

In order to get the NPV we have to make the following calculations for the projects A and B.

We have:

<u>For Project A</u>

-900 + 620/1.08 + 395/1.08² + 200/1.08³ + 250/1.08⁴

= $355. 237

<u> project B</u>

we would have

-900 + 620/1.08 + 395/1.08² + 200/1.08³ + 250/1.08⁴

= 378.98

The value for the project B happens to be greater than that of A hence this is the value that we have to accept

Read more on NPV here:

brainly.com/question/17185385

#SPJ1

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Answer:

First law of business.

Explanation:

According to the first law of business, taking care of customers is essential to obtaining a competitive advantage in order to keep them considering the fact that these customers are the king of the market.

6 0
3 years ago
As diversity grows in both society and the workplace, interacting and communicating with your coworkers will present specific ch
Fed [463]

Answer:

A)Understand the value of difference.

B)Seek training.

G)Build on similarities.

Explanation:

A)When one find his/ her self in a diverse work environment, one should understand that people are created differently with different behavior, understanding this differences will enable individual to work together to achieve high productivity.

B) by seeking training, ways to relate with coworkers can be learnt therefore enabling unity in the organization and team work would be easier.

C) Building similarities will lead to a acceptance of differences that exist between co-workers then this will enable good relationship s.

6 0
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Explain how the amount of your deductible is likely to affect the amount of your premium.
Lapatulllka [165]

Answer:

See below

Explanation:

A deductible is an amount you upfront to a health insurance provider before insurance coverage can begin. The insurance company will not pay for health care services before the deductible is paid.

There is an indirect relationship between the amount of deductible paid and the premiums to be paid. When the deductible amount is high, the insurance premiums are low.

If the insurance policy has a low deductible requirement, the insurance premiums will be high.

8 0
3 years ago
Select the correct answer
Alika [10]

Answer:

true.

no need to explain.

4 0
3 years ago
Read 2 more answers
If the P/E ratio of a company's common stock were 12, and its earnings were $2.50 per common share:A. the market value of the co
KengaRu [80]

Answer:

C. an increase in earnings of $0.20 per share, with no change in the multiple, would result in a market price increase of $2.40 per share.

Explanation:

The P/E ratio (also sometimes called "the multiple") is simply the current price per share divided by the earnings per share. (Price / Earnings = P/E) If you multiply both sides of that equation by Earnings, you get Price = P/E * Earnings.

So if you have P/E = 12 and Earnings = $2.50/share, the price would be 12 * 2.50/share = $30/share. That means a) and b) are both wrong.

It also means that 12 times the change in earnings will tell you the change in price (if the P/E multiple doesn't change). So a 0.20 rise in earnings will raise the stock price by 12 times that amount or $2.40/share. So c) is the correct answer.

7 0
3 years ago
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