Answer:
NPV = $49,234.16
Explanation:
The Net present value (NPV) is the difference between the Present value (PV) of cash inflows and the PV of cash outflows. A positive NPV implies a good investment project and a negative figure implies the opposite.
NPV of an investment:
NPV = PV of Cash inflows - PV of cash outflow
<em>Present value of cash inflows:</em>
A × 1-(1+r)^(-n)/r
A- annual cash inflow-20,000 r-rate of return-10%, n-number of years-6
PV of cash flow = 20,000 × (1.1)^(-6)/0.1 = 87,105.21399
<em>PV of scrap value</em>
F× (1+r)^(-n)
F- scrap value
= 2,000× 1.1^(-6)= 1,128.94
Initial cost = $39,000
NPV = 87,105.21399 + 1,128.94 -39,000= $49,234.16
NPV = $49,234.16
Answer:
Answer is B. Differentiation,cost leadership and response.
Explanation:
The accepted course of action, which was as a result of the estimate of the strategic situation.
Frank and lillian gilbreth developed the principle of motion economy, which said that every job could be broken down into a series of elementary motions. The motion economy has principles that are in place to improve the manual work within a manufacturng career field. These are to help a manufacturer worker not be exhausted so quickly and reduce the trauma that may occur within this career field.
Answer:
The correct option is C. which is <em>assess how long a company with positive cash flows from financing activities can continue to operate</em>
Explanation:
<em>The ratio of cash to monthly cash expenses can be used to make assessment of a company whether how long it can determine without additional financing and positive cash flows generated from operations.</em>
The formula of The ratio of cash to monthly cash expenses
= Cash s of year end ÷ Monthly Cash Expenses
Answer:
C. Debt to Income Ratio
Explanation:
The debt to income ratio (DTI)provides a picture of the level of debts of a borrower. The DTI is usually expressed as a percentage of gross income. A high debt to income ratio indicates a person spends a high percentage of income on paying debts.
Lenders use the debt to income ratio to assess a borrower's ability to repay debts. Individuals with low DTI are preferred to those with a high one.