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Leya [2.2K]
3 years ago
12

To avoid accepting projects that actually should be rejected, a company should ignore intangible benefits in calculating net pre

sent value.
a. True

b. False
Business
1 answer:
Alex Ar [27]3 years ago
8 0

Answer:

false

Explanation:

Net present value is the present value of after-tax cash flows from an investment less the amount invested.  

Only projects with a positive NPV should be accepted. A project with a negative NPV should not be chosen because it isn't profitable.  

When choosing between positive NPV projects, choose the project with the highest NPV first because it is the most profitable.

Monetary amounts should be allocated to intangible benefits and incorporated into the calculation of NPV

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Scenario​ : The average total cost to produce 100 cookies is​ $0.25 per cookie. The marginal cost is constant at​ $0.10 for all
nika2105 [10]

Answer: D. $20

Explanation:

Total cost to produce 50 cookies = Total cost to produce 100 cookies - Marginal cost to produce 50 cookies

Total cost to produce 100 cookies is:

= Average total cost * number of cookies

= 0.25 * 100

= $25

Marginal cost to produce 50 cookies is:

= Constant marginal cost * number of cookies

= 0.10 * 5

= $5.00

Total cost to produce 50 cookies = 25 - 5

= $20.00

8 0
3 years ago
Cirrus Aircraft, a leading manufacturer of small airplanes, sees a market opportunity and has decided to double its plant capaci
Westkost [7]

Answer:

B. A strategic action because such a large plant expansion will require a major commitment of resources.

Explanation:

There are two major forms of action in business decision making: strategic and tactical. Strategic action deals with decision that require major planning and investment of resource. Strategic actions have long term implementation and effect and are difficult to reverse.

Tactical actions, on the other hand, are flexible and involves actions taken on short term basis. Tactical actions are majorly bye-product of strategic decision.

On this note, Circus Aircraft`s  decision to double its plant capacity over the next two years is a strategic action because such a large plant expansion will require a major commitment of resources. And the action will not easily reversible.

Other options in the question are not totally right.

7 0
3 years ago
"Tourism sector has become a good source of earning foreign currency in Nepal"Justify this statement with examples
olchik [2.2K]

Explanation:

Tourism has become one of the main income sources for many developing countries like Nepal. Nepal has great potential to become a top destination for tourists as the nation is famous for its snowcapped mountains, abundant flora and fauna, exciting trekking routes and rich cultural and religious diversity.

5 0
3 years ago
Read 2 more answers
Ambrin Corp. expects to receive $2,000 per year for 10 years and $3,500 per year for the next 10 years. What is the present valu
sineoko [7]

Answer:

A. $19,034

Explanation:

The computation of the present value for 20 years cash flow is shown below:

For the First 10 years

Given that

Payment for first 10 years = $2,000

Discount rate = 11%

Now the present value is

= $2000 ÷ 1.11 + $2,000 ÷ 1.11^2 +...........+ $2,000 ÷1.11^10

= 11,778.46402 ..............(1)

For the Next 10 years

Given that

Payment for next 10 years = 3,500

Discount rate = 11%

Now the present value is

= $3,500 ÷ 1.11 + $3,500 ÷ 1.11^2 +...........+ $3,500 ÷ 1.11^10

= 20,612.312

So, today present value is

= $20,612.312 ÷ 1.1110

= 7,259.339 ...........................(2)

Now

Total present value is

= $7,259.339 + $11,778.46402

= $19,034

3 0
3 years ago
To analyze which tasks to crash in order to shorten your schedule, you want to sort tasks by duration and then cost. Which appro
Pachacha [2.7K]

The approach that you should use to accomplish this would be to use the cost feature along with the duration and the cost options.

What to do to crash a schedule

In order to crash a schedule you have to

  • analyze the part
  • identify the tasks which could be shortened
  • Make calculations for each task
  • Choose the project that would cost you the less money.
  • Prepare the crash budget.

Read more on schedule crashing here:

brainly.com/question/14069240

4 0
2 years ago
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