Which statement would apply to a consortium?

The discount rate assigned to an individual project should be based on: Group of answer choices the firm's weighted average cost

Inessa05 [86]

Answer:

none of the choices are correct

Explanation:

When the discount rate assigned for an individual project then it should be based on the risk i.e attached to the fund use needed by the project

There were various cases when a risky firm invested in a less risky project also if the same cost of capital is used so the firm could alter the decision of an investment in a negative manner

Therefore none of the choices are correct

3 0

3 years ago

In a closed economy, saving and investment must be equal, but this is not the case in an open economy. In the following problem,

Leni [432]

Answer:

Y = C + I + G + NX

S = Y - C

S = I + G + NX

Explanation:

National Income Y = C + I + G + NX ; {where consumption, investment, government purchases, net exports ie exports - imports are corresponding expenditure of households, firms, government, rest of the world}

National Saving (S) is income (Y) left after paying for consumption (C) . So, S = Y - C

Using above equations, Y = C + S , Y = C + I + G + NX

C + S = C + I + G + NX

So, S = I + G + NX

4 0

3 years ago

"on may 1, mesa verde, inc. purchased a 2-year insurance policy for $15,600. prepaid insurance was debited for the entire amount

N76 [4]

The journal entry on May 1 was:

A debit to Prepaid Insurance for 15,600

And a credit to cash for 15,600

Prepaid Insurance is the share of an insurance premium that has been paid in early and has not finished as of the balance sheet date.

The monthly insurance payment for two years is computed by 15,600/24 months which is $650 per month.

At December 31 the adjusting entry would be:

A debit to Insurance Expense 5,200

And a credit to Prepaid Insurance for 5,200

5,200 is computed by:

650 x 8 months (starting from May 1 to December 31) = 5,200

5 0

3 years ago

the averge woman makes 75 cents for every dollar a man makes in the workforce. this statisic would fall under which of the follo

photoshop1234 [79]

Men get treated better than women. Men are more superior. Womes Rights

3 0

3 years ago

Maritime Sail Makers manufactures sails for sailboats. The company has the capacity to produce 37 comma 000 sails per year and i

xz_007 [3.2K]

Answer:

Increase in operating income = $456,000

Explanation:

According to the scenario, computation of the given data are as follow:-

Operating Income Statement

Particular Existing New order Total

Current selling 25,000 5,700 30,700

Selling price per unit $185 $160

Manufacturing variable cost per unit $60 $60

Selling and administrative variable cost per unit $20 $20

Contribution margin per unit(CMPU)= $105 $80

(sale price - variable cost)

Contribution margin $2,625,000 $456,000 $3,081,000

(sale units × CMPU)

Manufacturing fixed cost $700,000 $700,000

Selling and administrative fixed cost $250,000 $250,000

Net operating income $1,675,000 $2,131,000

So, Difference in net income are as follows:

Increase in operating income = $2,131,000 - $1,675,000

= $456,000

8 0

3 years ago