1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Alexus [3.1K]
2 years ago
5

Less certain a cash flow, the ________ the risk, and ________ the present value of the cash flow. higher; lower lower; lower hig

her; higher lower; higher
Business
2 answers:
Akimi4 [234]2 years ago
7 0
I think it’s higher the risk and the lower present value
pychu [463]2 years ago
4 0

Answer: A. Higher; lower

Explanation: Less certain a cash​ flow, the​ ________ the​ risk, and​ ________ the present value of the cash flow.

A.

​higher; lower

B.

​higher; higher

C.

​lower; higher

D.

​lower; lower

The current value of a sum of money or streams of cash flow in the future are usually discounted. Safer assets do have lower discounted rates than riskier assets. Which is to say, when a cash flow has higher risks, it is discounted more making its value today lower. Future cash flows are discounted (at the discount rate), and the higher it is discounted, the lower the present value of the future cash flows.

You might be interested in
A u.s. manufacturer that exports goods made at its u.s. plants for shipment to foreign markets:
iris [78.8K]
A U.S. producer that exports merchandise made at its U.S. plants for shipment to outside markets becomes more focused in remote markets or in foreign markets when the U.S. dollar decreases in values against the currencies or money of the other nations or countries to which it is trading.
7 0
3 years ago
On July 1, 2010, Ellison Company granted Sam Wine, an employee, an option to buy 400 shares of Ellison Co. stock for $30 per sha
gregori [183]

Answer:

Ellison Company should recognize compensation expense on its books in the amount of $600

Explanation:

Solution

The transaction in the books of Ellison Company during the period of July 1st 2010 to December 31st 2010

On July 1st the share value was $30 *400 =  12000

On October 1st 2010 sold at $ 36 * 400 =  14400

The gain on this transaction was = $2,400          

31st July 2010, less compensation expenses =$ 1,800    

The fair vale to be recorded as a gain = $ 600

3 0
3 years ago
During the recession of 2008 through 2010, Ford
mars1129 [50]

Answer:

During the recession of 2008 through 2010, Ford saw sales of its vehicles drop and was forced to reduce production. This decision reflected changes in the company's ECONOMIC environment.

Explanation:

The automotive industry crises occurred from 2008 to 2010, it was basically a part of the financial crisis that started in 2007. It also effected most of the Europe, but the results in America were far worst than any other part of the world. The main reason behind it was the rise in the fuel prices for these vehicles. As Ford didn't offer much fuel efficient models for costumers, their sales started to decline, which resulted in the reduction of production, and changed the companies economic environment.

3 0
3 years ago
You currently own 100 shares of stock in Beverly Brothers Inc. The stock currently trades at $120 a share. The company is contem
Gwar [14]

Answer:

No option is correct, since you will have 200 shares and each share should be worth around $60.

Explanation:

If the 2-for-1 stock split takes place then you will have 200 shares instead of 100. For every 1 share that you currently own, the corporation will issue another share.

Since the price of the shares was $120 before the stock split, after the stock split the price will be divided by two (the same proportion). So each new share will cost approximately $60.

In order for option 2 to be correct, the stock spit should have been 3-for-1.

8 0
3 years ago
A fillorkill order will be A. will be cancelled at the end of the trading day if not executed by that time. B. executed immediat
katen-ka-za [31]

Answer:

D) will be cancelled if not immediately executed at the stated price or better.

Explanation:

A Fill-Or-Kill order can be regarded as

an order that is been made in order

to buy/sell a stock and it must be executed in entirety and immediately. If not executed immediately the order might be cancelled since partial Execution is not part of the process of Fill-Or-Kill order. It should be noted that A fillorkill order will be cancelled if not immediately executed at the stated price or better.

4 0
2 years ago
Other questions:
  • A Canadian company is examining the relative wages, land-acquisition costs, and access to R&D facilities before deciding to
    12·1 answer
  • What are the steps involved in identificaton of risk analysis?
    15·1 answer
  • Bogart Company is considering two alternatives. Alternative A will have revenues of $146,100 and costs of $104,400. Alternative
    14·1 answer
  • Carol and Evan recently had their first child. As two working parents, they struggled to find good, economical child care. As a
    15·2 answers
  • The most serious problem with aggression is that
    10·1 answer
  • Which of the following statements is FALSE? Explanation: B. Beta is measured using past information.
    5·1 answer
  • Larry wants to hold an event that covers Dual Special Needs Plans (SNP). He will use the slide presentation provided by UnitedHe
    7·1 answer
  • The Red Bud Co. pays a constant dividend of $2.40 a share. The company announced today that it will continue to do this for anot
    11·1 answer
  • Categorize each of the following items as an S-strength, W-weakness, O-opportunity, or T-threat. " WALMART SWOT ANALYSIS"
    9·1 answer
  • mariah would like to start eating healthier by making low sugar meals. Which of the following word searches should she use in or
    13·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!