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kirill115 [55]
1 year ago
12

He wacc is the appropriate discount rate for use with ______ projects but should be adjusted ______ for higher risk ones

Business
1 answer:
gregori [183]1 year ago
8 0

The WACC is the appropriate discount rate for use with average projects but should be adjusted upward for higher-risk ones.

Securities analysts may use WACC when evaluating the value of investment opportunities. For example, in discounted cash flow analysis, as a discount rate for future cash flows, he can apply WACC to derive the net present value of the firm.

Using the WACC discount rate makes the present value of investment appear higher than it actually is.

Businesses typically use the weighted average cost of capital (WACC) as the discount rate. This is to take into account the rate of return expected by shareholders. DCF has limitations. Primarily, it relies on estimates of future cash flows that may be inaccurate.

Learn more about WACC at

brainly.com/question/25566972

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Organizations compensate their employees in a variety of ways in order to motivate them. Compensation may be offered at the indi
Sergio039 [100]

Explanation:

Humans are rational beings and are thus influenced or motivated by rewards. An organisation compensation plan may include the following;

  • health care insurance,
  • exercise facilities,
  • life insurance,
  • bonuses,
  • employee stock ownership plans,
  • subsidized meal plans,
  • child care availability,

In conclusion, in most cases the most effective elements of motivation of workers are non-monetary in nature.

7 0
3 years ago
The 100-room fantastic Florida motor lodge accepts only cash for its guests. On Saturday evening 90 of its rooms occupied and to
Anon25 [30]
<h2>Answer:</h2><h2>The motor lodges average daily rate for the particular evening = $1000 per room</h2>

Explanation:

The total number of rooms in fantastic Florida motor lodge = 100

On Saturday evening, the number of rooms occupied = 90

Total cash receipts for the evening = $90000

The daily rate for the evening = ?

To calculate the average daily rate for that particular evening,

Average daily rate = \frac{90000}{90} = $1000 per room

The motor lodges average daily rate for the particular evening = $1000 per room

3 0
3 years ago
When a company recognizes that the needs of one market segment is not the same as another and accordingly customizes its product
serg [7]

Answer:

D

Explanation:

Focus strategy is said to be pursued when a company recognizes a relatively narrow market segment or a particular buyer group where competition is weakest and then tailored its production and product offerings towards this niche in order to serve the particular target or niche extremely well with the aim of earning a huge return on investment.

Focus strategy is pursued when a company recognizes that the differences in need of one market segment to another and then produce or deliver goods and services that serve the needs and requirements of this particular competitive segment

3 0
3 years ago
Read 2 more answers
An economic expansion tends to cause the federal budget deficit to ________ because tax revenues ________ and government spendin
Gwar [14]

An economic expansion tends to cause the federal budget deficit to decrease because tax revenues rise and government spending on transfer payments falls.

What is economic expansion?

Economic expansion occurs when real GDP raises from a trough to a peak within two or more subsequent quarters. The expansion occurs during times of economic stimulation when there is a rise in employment, followed by consumer confidence and discretionary spending. The stage is additionally referred to as economic recovery. When expansion reaches its pinnacle, a peak happens. With a large sum of demand for goods, inflation occurs when costs begin to increase. Gradually, consumers begin to buy less. After reaching the peak, economic growth starts to decrease. While the phrases inflation and deflation refer to rising and falling prices of commodities, goods, and services relative to the value of money, economic contraction and expansion refer to the overall output of all goods and services.

To learn more about economic expansion, visit;

brainly.com/question/831569

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6 0
2 years ago
Why are we forced to make choices in day-to-day life?
OLga [1]

Answer:

Because of resources are limited and we must decide

Explanation:

6 0
4 years ago
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