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3 years ago

The minimum return that must be earned on a project in order to leave the firm's value unchanged is ________.

1 answer:

3 0

The minimum return that must be earned on a project in order to leave the firm's value unchanged is: cost of capital.
This minimum return will be used for the firm to continue its previous operation without making any changes such as cutting out their employees or selling some of its assets

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An exchange economy has two consumers, named Jimmy and Sue, and two commodities, apples and bananas. Jimmy’s initial endowment i

Aleks04 [339]

Answer:

(a) BJ = AJ

In equilibrium, apples and bananas have the same price.

Jimmy’s consumption bundle must be 3 apples and 3 bananas

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Explanation:

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3 years ago

Mathrans, a textile firm, wants to hire two costume designers for a new movie project. To precisely determine the future job per

irga5000 [103]

Answer:

Validation

Explanation:

The validation process occurs when an organization needs to know the skills and performances of some job seekers. Through a test with selected measures, such as construction measures, content and criteria, it is possible for the company to know and predict if a candidate is able to perform the tasks assigned to the position he is running.

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3 years ago

On October 10, the stockholders’ equity of Sherman Systems appears as follows. Common stock–$10 par value, 74,000 shares authori

uysha [10]

Answer:

1, Journal entries

Date Account and explanation Debi$ Credit$

Treasury stock (5200*27) 140,400

Cash 140,400

(To record purchase treasury stock)

Cash (1,050*33) 34,650

Paid in capital from sale of treasury stock 6,300

Treasury stock (1,050*27) 28,350

(To record sale of treasury stock)

Cash (4,150*22) 91,300

Paid in capital from sale of 6,300

treasury stock

Retained earnings 14,450

Treasury stock (4,150*27) 112,050

(To record sale of treasury stock)

2. Revised equity section

Contributed capital

Common Stock 740,000

Paid in capital in excess of 226,000

par value-Common Stock

Total paid in capital 966,000

Retained earnings 880,000

Total 1,846,000

Less: Treasury stock (140,400)

Total Stockholder's equity $1,705,600

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3 years ago

The Z−90 project being considered by Steppingstone Incorporated (SI) has an up-front cost of $250,000. The project's subsequent

LekaFEV [45]

Answer:

The right solution is Option a (-$6,678).

Explanation:

Given that:

Up-front cost,

= $250,000

Expected cash flows,

= $110,000

Assuming cost of capital,

= 12%

Now,

The expected net present value will be:

= $250000+0.5\times (110000+25000)\times \frac{1}{12 \ percent}\times (1-\frac{1}{1.12^5} )$

= $250000+0.5\times (135000)\times \frac{1}{12 \ percent}\times (1-\frac{1}{1.12^5} )$

= $-6,678$ ($)

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3 years ago

All other things being equal, supply curves slope upwards from left to right because

Svetach [21]

In most cases, the supply curve is drawn as a slope rising upward from left to right, since product price and quantity supplied are directly related (i.e., as the price of a commodity increases in the market, the amount supplied increases). ... A change in any of these conditions will cause a shift in the supply curve.

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3 years ago