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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

#SPJ4

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Under the constant-money-growth-rate rule, the annual money supply will be constant at the average annual growth rate of:_______
tiny-mole [99]

Answer:

real GDP

Explanation:

The above rule was proposed by Milton Friedman that the money supplied by the central bank be increased by constant percentage on annual basis. In other words, constant money growth rate rule suggested money supply growth rate be equal to GDP growth rate annually.

According to Friedman, monetary policy contributes to fluctuation in an economy. He suggested that the best way to stabilize a fluctuating economy is to allow the central bank increase money supply in the long run by a targeted amount annually irrespective of the situation of the economy.

6 0
4 years ago
A recent survey found that 24% of Americans feel that it is always wrong to speed. In which of the following schools of ethical
borishaifa [10]

Answer:

"B"

Explanation:

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8 0
3 years ago
The inventory costing method that reports the earliest costs in ending inventory is:_______
nikdorinn [45]

Answer:

a. LIFO.

Explanation:

The LIFO method refers to an inventory method that means the item which is last purchased should be sold first during the period of time. So in this inventory method the earliest cost in the closing inventory should be recorded

Therefore the given situation, the correct option is a.

And, the other options are wrong

4 0
3 years ago
Swifty Corporation sells its product for $5600 per unit. Variable costs per unit are: manufacturing, $2800, and selling and admi
galben [10]

Answer:

Am nevoie de Puncte

Explanation:

6 0
3 years ago
Complete the right half of the following equation to reflect the labor force participation rate reported by the BLS.
geniusboy [140]

Answer:

B. 60%

Explanation:

Labor force participation rate = Number in labor force/Adult population*100

=3/5*100 = 60%

3 0
3 years ago
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