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denpristay [2]
3 years ago
10

Joe and rich are both considering investing in a project that costs $25,500 and is expected to produce cash inflows of $15,800 i

n year 1 and $15,300 in year 2. joe has a required return of 8.5 percent but rich demands a return of 12.5 percent. who, if either, should accept this project?
a.joe, but not rich
b.rich, but not joe
c.neither joe nor rich
d.both joe and rich
e.joe, and possibly rich, who will be neutral on this decision as his net present value will equal zero
Business
1 answer:
skelet666 [1.2K]3 years ago
8 0

The ones that should consider investing or accept the project is both Joe and Rich because even if Joe has a required return of 8.5 % and Rich demands for a return of 12.5 %, they can still accept the project as they have the capability of investing with the project that they are to accept.

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he only stable isotope of fluorine is F. What type of radioactivity would you expect from the isotope F, which has one fewer neu
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What is Beta decay (β+ decay)?

  • In nuclear physics, beta decay, also known as β-decay, is a type of radioactive decay in which an atomic nucleus emits a beta particle (a fast energetic electron or positron), which changes the original nuclide into an isobar of that nuclide.
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4 0
2 years ago
In 2007, the economy slipped in a recession that many called the worst since the Great Depression. This caused people to experie
Elis [28]

Answer:

an increase in equilibrium price and an indeterminate effect on equilibrium quantity.

Explanation:

An inferior good is a good whose demand increases when income falls and reduces when income rises.

If ramen is an inferior good, when income falls its demand would increase. This would lead to a rise in quantity and price.

An increase in the price of wheat would increase the cost of production of ramen. As a result, the supply of ramen would fall. Price would increase and supply would fall.

The combined effect would be an increase in equilibrium price but an indeterminate effect on equilibrium quantity.

I hope my answer helps you

3 0
3 years ago
The interest rates for treasury notes are greater than for T-bills because of the longer maturity dates. A. True B. False
Brrunno [24]

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Explanation:

7 0
3 years ago
"Y3K, Inc., has sales of $6,359, total assets of $2,975, and a debt-equity ratio of 1.10. If its return on equity is 11 percent,
gogolik [260]

Answer:

Net income of Y3K, Inc. is $155.83

Explanation:

Debt-to-equity ratio is calculated by using formula:

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Total debt (or liabilities) = Debt-to-equity ratio x Total equity  = 1.1 x Total equity

Basing on accounting equation:

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Total equity = Total assets/2.1 = $2,975/2.1

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8 0
3 years ago
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