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Arlecino [84]
3 years ago
8

Which of the following statements indicates a disadvantage of using the regular, or conventional, payback period for capital bud

geting decisions? Check all that apply. A. The payback period does not take into account the cash flows produced over a project’s entire life. B. The payback period does not take into account the time value of money effects of a project’s cash flows. C. The payback period is calculated using net income instead of cash flows.
Business
1 answer:
svp [43]3 years ago
5 0

Answer:

A. The payback period does not take into account the cash flows produced over a project’s entire life. B. The payback period does not take into account the time value of money effects of a project’s cash flows.

Explanation:

The payback period method calculates the amount of time that is taken to recoup an investment made on a project.

Payback period is calculated using cash flows.

The disadvantages of payback period are :

1. It doesn't take into consideration the time value of money.

2. It doesn't take into account the cash flows after original investment has been recouped.

The discounted payback corrects for these disadvantages by using a discounted cash flow.

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Susan's father warned her about buying real estate. He told her that it was her responsibility to determine the facts about a pr
Margarita [4]

The legal issue that  Susan's father  was advising her about is: Caveat emptor.

<h3>What is Caveat emptor?</h3>

Caveat emptor is a Latin words which means let the buyer beware before buying or purchasing a property.

Hence,  Susan's father advising her about Caveat emptor which is why he told her facts to obtain a thorough inspection before buying or purchasing the real estate.

Learn more about Caveat emptor here:brainly.com/question/14565508

#SPJ1

8 0
1 year ago
Patricia Nall was approved for a $3,000, two-year, 11 percent loan with the finance charges figured using the discount method. H
Luba_88 [7]

Answer:

$2,340

Explanation:

The computation of cash received from this loan is shown below:-

cash received from this loan = Approved amount - (Approved amount × Two year × Percentage of loan )

= Approved amount - ($3,000 × 2 × 11% )

= $3,000 - ($3,000 × 2 × 0.11 )

= $3,000 - $660

= $2,340

Therefore, for computing the cash will Patricia receive from this loan we simply applied the above formula.

4 0
3 years ago
What is the difference between buying shares of stock and buying bonds
Alex73 [517]

Answer:

See explanation section

Explanation:

The difference between buying shares and buying bonds are as follows:

1. Buying stock gives a person to own the company while buying a bond that provides a person to become a debt-holder of the company who can receive interest and get the entire amount in the future.

2. Purchasing stock gives an individual the voting right to elect the board of directors of a company. Buying bonds does not give voting rights to the bondholders.

3. Stock owners can receive the profit in the name of dividends. Bondholders do not receive any profit. Instead, they receive interest annually.

7 0
3 years ago
In the summer, ben often jogs during the middle of the day. when he exercises in these conditions, he sweats heavily. the recomm
stira [4]
In order for Ben to maintain his fluid balance, he should take huge amounts of liquid, and the best liquid that he should take is water. He should take and drink water when jogging, in order to keep himself hydrated as he sweats a lot and when he does not consume water with this behavior, he would likely be dehydrated as he loses the balance of maintaining liquid in his body.
3 0
3 years ago
Arthur sells $100 worth of cotton to Bob. Bob turns the cotton into cloth, which he sells to Camille for $300. Camille uses the
kow [346]

Answer:

$1200

Explanation:

Gross Domestic Product (GDP) is the total market value of all of the final goods and services produced in a country over a particular period of time.

The contribution to GDP can be determined by adding the value created by each of the economic agents involved in the creation of the final goods and services

Arthur = 100 = 100

Bob = 300 - 100 = 200

Camille = 700 -300 = 400

Donita = 1200 - 700 = 500

Total Value 100 +200 +400 +500 = $1200.

You will observe that it is the same as the value of the final good i.e dress. In the production process, other goods involved are referred as intermediate goods

8 0
3 years ago
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