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
IRINA_888 [86]
3 years ago
14

When the risks of the individual components of a project’s cash flows are different, an acceptable procedure to evaluate these c

ash flows is to:
A. Discount each cash flow using a discount rate that reflects the degree of risk.
B. Utilize the accounting rate of return.
C. Compute the net present value of each cash flow using the firm’s cost of capital.
D. Compare the internal rate of return from each cash flow to its risk.
Business
1 answer:
maxonik [38]3 years ago
3 0
The answer would be the first one for sure
You might be interested in
Suppose the fixed interest rate on a loan is​ 5.75% and the rate of inflation is expected to be​ 4.25%. The real interest rate i
Alex

Answer:

Lenders loose and borrowers gain

Explanation:

Whenever inflation increases the value of money falls and technically erodes interest rates (hence real interest rate falls although nominal rate stays the same)

In the scenario, if the inflation rate rises to 5.5%, then the real interest rate falls further from 1.5% to (5.75% - 5.5%) 0.25%, demonstrating that the lender is loosing further.

Contrarily, the borrower will technically be paying lesser interest to the lender because he will be paying lesser money in value to the lender both in terms of interest and principal

8 0
3 years ago
The term value chain refers to the idea that a company is: Group of answer choices The producer of a series of customer-valued p
wel

Answer:

A series of activities that transform inputs into products that customers value.

Explanation:

A product can be defined as any physical object or material that typically satisfy and meets the demands, needs or wants of customers. Some examples of a product are mobile phones, television, microphone, microwave oven, bread, pencil, freezer, beverages, soft drinks, etc.

The core benefit of a product can be defined as the basic (fundamental) wants or needs that is being satisfied, met and taken care of when a customer purchase a product.

Hence, the term that refers to the first level of a product, which depends on the customer value it generates is generally referred to as a core benefit. For example, a hotel provides a comfortable and convenient bed to spend the night (sleep) when you travel for a vacation.

On a related note, a value chain refers to the idea that a company is a series of activities that transform inputs into products that customers value.

4 0
3 years ago
State any four uses of funding in a new business
miss Akunina [59]

Answer:

Some of these funding options are for Indian business, however, similar alternatives are available in different countries.

  • Bootstrapping your startup business
  • Crowdfunding As A Funding Option
  • Get Angel Investment In Your Startup
  • Get Venture Capital For Your Business
7 0
3 years ago
If a 20 percent increase in the price of red bull energy drinks results in a decrease in the quantity demanded of 25 percent, th
yanalaym [24]

The correct answer is that the price elasticity of demand is elastic.

Price elasticity occurs when a change in price results in a change in demand. In this example, a 20 percent increase in the price of the drinks resulted in a 25 percent decrease in the demand for the product. Because the price increase resulted in a demand decrease the price is elastic.

4 0
3 years ago
Catering Corp. reported free cash flows for 2008 of $8.17 million and investment in operating capital of $2.17 million. Catering
gtnhenbr [62]

Answer:

$11.59 million

Explanation:

The computation of earning before interest and tax is shown below:-

Free cash flow = Operating cash flow - Investment in operating cash flow

$8.17 million = Operating cash flow - $2.17 million

Operating cash flow = $10.34 million

For calculating the earning before interest

Operating cash flow = Earning before interest - Taxes + Depreciation

$10.34 million = Earning before interest - $2.17 million + $0.92 million

= $10.34 million = Earning before interest - $1.25 million

Earning before interest = $11.59 million

5 0
3 years ago
Other questions:
  • Jada, a PR executive, likes to meet clients in her office, where her diplomas and awards are prominently displayed. This encoura
    15·1 answer
  • A ________________ is linked to the organization’s hierarchy, with some shift of power to team; the leader has limited manageria
    13·1 answer
  • Jonathan Wynn has developed a budget that he follows each month. Jonathan has an envelope for each type of expenditure. After he
    11·1 answer
  • A debit may signify a(n) a. decrease in a liability account b. decrease in an asset account c. increase in the retained earnings
    14·1 answer
  • Martha is walking from her office building to her car in a torrential downpour with an umbrella manufactured by Umbrellas USA, I
    7·1 answer
  • Identify a cost driver that may be used to assign each cost pool to each line of snowmobiles. Budgeted Costs Cost Driver Machine
    8·1 answer
  • According to a summary of the payroll of Kirby Co., $700,000 in earnings were subject to the 7.6% FICA tax. Also, $108,500 in ea
    9·1 answer
  • Which of the following is not correct?a. If the inflation rate exceeds the nominal interest rate, then the purchasing power of a
    6·1 answer
  • Match each of the options above to the items below.
    8·1 answer
  • Marketing strategy of strepsils company
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!