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2 years ago

Assume a project has normal cash flows. according to the accept/reject rules, the project should be accepted if the?

1 answer:

6 0

Assume a project has normal cash flows. According to the accept/reject rules, the project should be accepted if the: IRR exceeds the required return.

Internal rate of return (IRR) is a metric used in financial analysis to estimate the potential profitability of an investment. The IRR is the discount rate that drives the net present value (NPV) of all cash flows to zero in discounted cash flow analysts. This suggests that an expected angel investment IRR of at least 22% is considered a good IRR. The higher

the project's projected IRR and the higher the amount above its cost of capital, the more net cash the project brings to the firm. So in this case the project appears to be profitable and management should go ahead with it.

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Acquisition Cost of Long-Lived Asset The following data relate to a firm’s purchase of a machine used in the manufacture of its

klemol [59]

Answer:

The acquisition cost is $38140

Explanation:

acquisiton cost = invoice price + applicable sales tax - cash discount + freight paid + cost of insurance + installation cost +testing and adjusting costt

= $34000 + $2000 - $400 + $260 + $125 + $2000 + $425

= $38410

Therefore, The acquisition cost is $38140.

6 0

3 years ago

Data from the financial statements of Dils Brothers Co. and J. Cox, Inc. are presented below (in millions): Dils Brothers Co. J.

9966 [12]

Answer:

0.64

Explanation:

Debts to total asset ratio = Total liabilities / total assets

For J.Cox Inc 2016; Debts to total asset ratio = $47,422 / 73,744

Debts to total asset ratio = 0.64306

Debts to total asset ratio = 0.64

2016 debt-to-total-assets ratio for J. Cox, Inc. is 0.64

3 0

3 years ago

$60 one year ago. The stock is now worth $70. During the year, the stock paid a dividend of $2.25. What is the total return to G

Nitella [24]

$60 one year ago. The stock is now worth $70. During the year, the stock paid a dividend of $2.25. The total return to George from owning the stock would be 20% (after rounding off the answer to the nearest whole percent).

Total return on share is the summation of dividend and price appreciation.
Since, the dividend = $2.25
Then, to ascertain price appreciation we need to subtract the dividend from the total return on the share.
Price appreciation = $70 - $60 = $10
Total return can be calculated hence.
Total return = $10 + $2.25 = $12.25
Therefore, the total return for George was $12.25.
To round off the answer to the nearest whole percentage:
Total return percent = $12.25/$60 = 20% approximately

Therefore, the total return to George from owning the stock would be 20%.

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8 0

2 years ago

Help ASAP

Amiraneli [1.4K]

Using the "Thinking at Margin" methodology, the relevant statement for a television maker to consider while making a choice is as follows: the average cost of ten TVs is one hundred dollars apiece. Option C. This will be discussed in further detail below.

<h3>What exactly does "Thinking at Margin" entail?</h3>

In most cases, it means giving some consideration to the action that will come next in your plan. The word "marginal" may also be used to signify "additional." The first glass of lemonade you drink on a hot day will quench your thirst, but successive glasses may not have the same impact on you.

When you contemplate at the margin, you are considering what the next or succeeding action will mean for you on an individual level.

In conclusion, using the "Thinking at Margin" technique, the following are the essential points for a television producer to take into consideration before making a decision when it comes to television programming: The usual cost of creating ten televisions is one thousand dollars each. Alternative C

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3 0

2 years ago

In 2019, Audrey claimed $2,100 on her Federal tax return for her Child and Dependent Care Expenses Credit. Her Federal adjusted

Maurinko [17]

Answer:

$1,050

Explanation:

Her adjusted gross income is $32,750, so she can claim maximum of 50% of Child and Dependent Care Expenses as CDC Credit

= $2,100 * 50%

= $1,050

So, the amount she can claim for the California Child and Dependent Care Expenses (CDC) Credit is $1,050

5 0

3 years ago