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salantis [7]
2 years ago
12

If the internal rate of return is used as the discount rate in the net present value calcula-tion, the net present value will be

?
Business
1 answer:
bezimeni [28]2 years ago
4 0

If the internal rate of return is used as the discount rate in the net present value calculations, the net present value will be  equal to zero. The internal rate of return (IRR) is a financial analysis metric used to estimate the profitability of potential investments.

The IRR calculations use the same formula as NPV calculations. Keep in mind that the IRR is not the project's actual the dollar value. The annual return is what brings the NPV to zero. The IRR is calculated in the same way as net present value (NPV), except that it sets NPV to zero.

To learn more about value, click here.

brainly.com/question/1578158

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The _____, which can hold a wide variety of merchandise by means of hardware hung from the vertical spine, is the workhorse fixt
ohaa [14]

Answer and Explanation:

gondola.

7 0
3 years ago
What is the basic purpose of the consumer price index (CPI)? A. to track monthly changes in prices paid by urban consumers B. to
Elina [12.6K]

Answer:

A). to track monthly changes in prices paid by urban consumers.

Explanation:

CPI(Consumer Price Index) is characterized as 'a statistical estimate of the price level of goods and services bought by consumers for consumption purposes by the households.' It primarily aims to estimate the change or swap in the prices of the weighted average price of the common basket(consumption goods, as well as, services that the consumers pay for). It is calculated using the formula;

CPI_{t}  = \frac{C_{t} }{C_{0} } * 100

where,

CPI_{t} = current Consumer Price Index

C_{t} = Current price basket

C_{0} = Cost of price basket in the base year

It assists in deducing whether the average prices have received a fall or rise and determines inflation or deflation. Thus, <u>option A</u> is the correct answer.

6 0
3 years ago
An economy has two firms, Russell Farms and the Cider Mill. Russell Farms owns orchards. It sells some of its apples to the publ
noname [10]

Answer:

a. GDP will increase

b. No effect on GDP

c. GDP will increase

d. GDP will increase

e. GDP will rise

Explanation:

Gross domestic product is the total monetary value of all the finished goods produced in the country during a specific period. When a new house is constructed it will create value for the economy and GDP will rise but when an old house is resold again there is no addition in the monetary value so there will be no effect on GDP.

6 0
3 years ago
A capital budgeting method that takes into consideration the time value of money is the cash payback technique. return on stockh
Andrew [12]

Answer:

Internal rate of return method

Explanation:

Internal rate of return is the discount rate that equates the after-tax cash flows from an investment to the amount invested

Accounting rate of return = Average net income / Average book value

Average book value = (cost of equipment - salvage value) / 2

Payback calculates the amount of time it takes to recover the amount invested in a project from it cumulative cash.

3 0
3 years ago
As the dominant member of the channel of distribution, Coca-Cola holds a lot of power in the relationship with independent groce
irakobra [83]

Answer:

System of Administered vertical marketing

Explanation:

Vertical marketing system is the system of cooperation among the several levels of the distributed channel. In this system, the members work together in order to promote the efficiency as well as economies of scale in the direction products are promoted to the end users.

Administered Vertical Marketing System is the one of the kind of vertical marketing system, which is a system that is coordinated among the distribution channel organisation, in that the flow of products from producer to the customer is controlled through size and power of one member of the system.

So, in this case, dominant member has the power of controlling the store. Therefore, it states the example of administered vertical marketing system.

6 0
3 years ago
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