Answer:
E) the risks associated with the use of the funds required by the project.
Explanation:
Discount rate for an individual project should be based on the riskiness of the project.
Using the company's overall weighted average cost of capital might lead to misleading estimates because the project might be more or less risky than the overall firm
Answer:
$449,830
Explanation:
A fix Payment for a specified period of time is called annuity. The discounting of these payment on a specified rate is known as present value of annuity.
Don draper will receive total 7 payments in 6 years time.
Formula for Present value of annuity is as follow
PV of annuity = P + P x [ ( 1- ( 1+ r )^-n ) / r ]
P = Payment = $80,000
r = rate of return = 8%
n = number of years = 6 years
PV of annuity = $80,000 + $80,000 x [ ( 1 - ( 1+ 8% )^-6 ) / 8% ]
PV of annuity = $80,000 + $369,830
PV of annuity = $449,830
Answer: Interest expense = $45500
Cash outflow = $45500
Explanation:
Based on the information that were given in the question, the amounts of interest expense and cash flows from operating activities, that will be reported in the financial statements for the year ending December 31, Year 1 will be calculated thus:
Interest expense = $700,000 × 6.50%
= $700,000 × 0.065
= $45500
The interest expense of $45500 will be reported on December 31, Year 1 in the income statement and will also be reported in the cash outflow as well. Therefore,
Interest expense = $45500
Cash outflow = $45500
Alton's supervisors' allowing him flex time to attend these meetings embraces Alton's<u> "ethnicity".</u>
Ethnicity alludes to the identification of a group in view of an apparent social uniqueness that makes the gathering into a "people." This distinctiveness is accepted to be communicated in dialect, music, values, craftsmanship, styles, writing, family life, religion, custom, nourishment, naming, open life, and material culture. This social exhaustiveness—a one of a kind arrangement of social attributes apparent as conveying everything that needs to be conveyed in usually extraordinary routes over the sociocultural existence of a populace—portrays the idea of ethnicity. It rotates around not only a "populace," a numerical entity, but rather a "people," an exhaustively one of a kind social element.
