All categories

3 years ago

Curtis is considering a project with cash inflows of $918, $867, $528, and $310 over the

Business

1 answer:

enyata [817]3 years ago

8 0

Answer:

A) $20.98

Explanation:

First, find the PV of each cash inflow;

PV(of CF1) = 918/(1.11) = 827.0270

PV(of CF2) = 867 / (1.11²) =703.6766

PV(of CF3) = 528/(1.11³) = 386.0690

PV(of CF4) = 310 / (1.11^4) =204.2066

Sum up the PVs;

= 827.0270 + 703.6766 + 386.0690 + 204.2066

= $2,120.9792

NPV = -initial investment + SUM of PVs of future cash inflows

= -2,100 + 2,120.9792

= $20.98

You might be interested in

Federated investors has a , with each mutual fund being managed by several portfolio managers who together take responsibility f

Archy [21]

Federated investors has a LOAN , with each mutual fund being managed by several portfolio managers who together take responsibility for the fund's performance.

4 0

3 years ago

A dollar today is worth ______ a dollar in the future because it can be reinvested. Multiple choice question. the same as more t

timofeeve [1]

A dollar in the present day is worth less than that of the dollar in the future, because of returns generated over reinvestment.

<h3>What is reinvestment?</h3>

A process of investing something, which is invested more than once after generating returns over it, is known as a reinvestment. A currency is the most widely reinvested class of asset, and generally its value appreciates.

Hence, the significance of reinvestment is given above.

Learn more about reinvestment here:

brainly.com/question/17206010

#SPJ1

5 0

2 years ago

Read 2 more answers

There are linkages between the microeconomic decisions made by managers and the macroeconomic environment. There are numerous ex

allochka39001 [22]

Answer:

One typical example of this linkage between the economy at the macroeconomic level, and business decisions at the macroeconomic and microeconomic level, is what happened with Lehman Brothers in 2008.

Explanation:

Lehman Brothers was one of the main investment banks in the United States. During the years prior to the financial crisis, Lehman Brothers decided to pursue a risky but profitable strategy of over leveraging -lending a lot more money than they had as deposits.

Once the financial crisis hit, a macroeconomic event, it affected the company at the macro and micro level. At the macro level because Lehman Brothers itself ceased to exist as it went bankrupt, and at the micro level, because it had to enter a process to pay off some debtors, and some of the employees who were laid off due to the dissolution of the firm.

4 0

3 years ago

A plant's fixed overhead costs total $500,000 for a year to produce 400,000 widgets, among other items. If machine‐hours are use

maxonik [38]

Answer:

$0.5

Explanation:

A plant's fixed total overhead cost is $500,000 for a year

400,000 widgets are required to be produced for this period

All processes require a 40,000 machine hours and the widgets use 16,000 hours out of the total hours

The first step is to calculate the fixed overhead application rate

= $500,000/40,000

= $12.5 machine-hour

The fixed overhead that is applied to the widgets can be calculated as follows

= $12.5 × 16,000

= $200,000

Therefore, the fixed overhead that is applied to each of the widgets produced can be calculated as follows

= 200,000/400,000

= $0.5

Hence the fixed overhead that is applicable to each widgets is $0.5

7 0

3 years ago

Who determines the price in perfect markets?

Trava [24]

Answer:

<h2>Price is determined by the</h2><h2> intersection of market demand and market supply; individual firms do not have any influence on the market price in perfect competition. Once the market price has been determined by market supply and demand forces, individual firms become price takers.</h2>

Explanation:

<h2>PLEASE MARK ME BRAINLIEST AND FOLLOW ME LOTS OF LOVE FROM MY HEART AND SOUL DARLING TEJASWINI SINHA HERE ❤️</h2>

5 0

3 years ago