Answer:
loan to value = 80%
Explanation:
given data
contract price = $100,000
mortgage loan = $80,000
appraised value = $110,000
solution
we get here loan to value ratio that is
loan to value = 
.................1
here lender use less of contract price or appraised value
so put here value in equation 1 we get
loan to value = 
loan to value = 0.80
loan to value = 80%
Given:
<span>initial investment 2,000,000.
the new facility will generate annual net cash inflows of $520,000 for ten years.
engineers estimate that the facility will remain useful for ten years and have no residual value.
Payback period = Initial Investment / Cash Inflow per period
Payback period = 2,000,000 / 520,000
Payback period = 3.85 years or 3 years and 10 months.
Accounting Rate of Return (ARR) = Average Annual Profit / Average Annual Investment
Average annual profit = 520,000
Average annual investment = 2,000,000 / 10 years = 200,000
ARR = 520,000 / 200,000 = 2.60 or 260%
NPV = 520,000 * [(1-(1.14)</span>⁻¹⁰ /0.14)] - 2,000,000
<span>NPV = 520,000 * 5.216 - 2,000,000
NPV = 2,712,320 - 2,000,000
NPV = 712,320
</span>
It won’t let me post the link that I found on here so I’ll try it in the comments
Answer:
Correct option is D
Explanation:
Provided Information,
There is a permanent fund with historical cost of $300,000.
Since the nature of fund is permanent and not a current fund which needs to be shown at current fair market value.
In case of long term assets and funds they are shown at historical cost, as there change in price is not reflected in balance sheet.
As the change might happen with increase or decrease, until the change is permanent the fund is shown at historical cost.
Therefore in the given case the increase in fair value from $300,000 to $360,000, will not be reflected in balance sheet.
Correct option is d)
No entry will be done to recognize any increase or decrease in fair value of such funds.
The answer to this question is to use the
Geographic segmentation when stocking condiment merchandise.
<span>Geographic segmentation is dividing the
market or consumers in terms of geography. An advantage of using geographic
segmentation is business and companies would help large companies to segregate
market and consider the differences of different countries. Also, in geographic
segmentation it allows the business to expand because the company can have a
marketing study on a specific area for using geographic segmentation.</span>
