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3 years ago

Selecting a base year and expressing each amount as a percent of the base year amount is called:

1 answer:

4 0

The process of selecting a base year and expressing the amount as a percent of the base year amount is referred to as trend analysis. Percentage change can be calculated between two periods or over a longer period of time.

Percentage change between two periods:

Subtract the earlier year from the later year. A negative difference means the change is a decrease. A positive difference means it is an increase. Then divide the change by the earlier year's balance.

Percentage change over a longer period of time:

1. Select the base year.

2. Divide the amount in each nonbase year (for each line item) by the amount in the base year and multiply by 100.

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The concept "bureaucracy" refers to

Vera_Pavlovna [14]

Answer:

d. An organizational model rationally designed to perform task efficiently.

Explanation:

Bureaucacy is an organization plan that performs daily activities like division of labour, has standardize processes and responsibilities. In bureaucracy, there is relationship between employees, hierarchies and duties are clearly spelt.

An example of bureaucracy is car production department. The department involves so many processes, division of labour and interpersonal relationships among employees.

Thus, bureaucracy tends to perform tasks efficiently due to a number of inputs required to complete the process.

6 0

3 years ago

What are the two major components of a working capital management strategy

Sliva [168]

Answer:

The two major components of Working Capital are Current Assets and Current Liabilities. One of the major aspects of an effective working capital management is to have regular analysis of the company's currents assets and liabilities.

6 0

2 years ago

one reason a company might prefer FDI over exporting. presence or threat of trade barriers costs of acquiring a foreign enterpri

kkurt [141]

Answer:

Presence or threat of trade barriers

Explanation:

If a company sees that a specific country has a presence or threat of trade barriers, the company will prefer to invest directly in foreign companies, instead of exporting.

This is because trade barriers, like tariffs or import quotas, will likely reduce the potential revenue that the company would get from exporting. It could reduce revenue so much as to make the company lose money.

8 0

3 years ago

A mining company is considering a new project. Because the mine has received a permit, the project would be legal; but it would

IgorLugansk [536]

Answer:

With mitigation: NPV =$36,670,000, IRR= 15,24%

Without mitigation: NPV= $ 42,000,000, IRR= 19,86%

Explanation:

To calculate the Net Present Value (NPV) we have to sum the present value of a project´s cash flows (positive and negative cashflows). To do so, we need: the number of periods of the project, the discount rate, cost of captal or WACC, and the future values of the cash flows. Then we apply the formula attached.

To calculate the Internal Rate of Return (IRR) we have to find the discount rate, cost of capital or WACC that makes the NPV equal to cero. That means we have to find a rate in which the investor do not create or destroy value, only recovers the investment. I attached the formula.

But, this is better if we use excel:

First we copy the cash flows of the two projects. To find the NPV we use the financial formula "NPV" in this way:

"=NPV(rate;cash flows from year 1 to year 5)+ cash flow of year 0"

To find the IRR we use the financial formula "IRR" in this way:

"=IRR(cash flows from year 0 to year 5)"

I attached the excel figure.

6 0

3 years ago

An agent gives a conditional receipt to a client for an insurance policy after collecting the initial premium. when will the pol

ExtremeBDS [4]

If the insurer takes the policy as applied for the coverage will take effect when the conditions of the receipt are met and from the date of the application or medical exam. The two types of conditional receipts are insurability and approval. The insurability receipt provides interim coverage as the applicant is insurable while the approval receipt will not begin until the insurer will approve the claim. However, conditional receipts will provide the coverage if the applicant is insurable as applied for and coverage will not be delivered until the applicant accepts the coverage if the insurer concerns a counter-offer because the applicant is substandard risk.

4 0

2 years ago