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Sonbull [250]
4 years ago
8

Why must real options have positive​ value? ​(Select all the choices that​ apply.) A. Real options must have positive value beca

use they can always be sold to recover the initial investment. B. Real options must have positive value because they are only exercised when doing so would increase the value of the investment. C. Having the real option but not the obligation to act is valuable. D. If exercising the real option would reduce​ value, managers can allow the option to go unexercised.
Business
1 answer:
murzikaleks [220]4 years ago
4 0

Answer:

B. Real options must have positive value because they are only exercised when doing so would increase the value of the investment.

C. Having the real option but not the obligation to act is valuable.

D. If exercising the real option would reduce​ value, managers can allow the option to go unexercised.

Explanation:

A real option is a choice made available to the managers of a company concerning business investment opportunities. It is referred to as “real” because it typically references projects involving a tangible asset instead of a financial instrument. Tangible assets are physical assets such as machinery, land, and buildings, as well as inventory.

A 'real option' is also a choice available to a company regarding an investment opportunity. The term 'real' means that it refers to a tangible asset and not a financial instrument. Examples of real options include determining whether to build a new factory, change the machinery and technology on a production line.

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Single-loop learning, according to management professor Chris Argyris, is most appropriate when the environment is _____________
Hatshy [7]

Answer:

The correct answer are: Stable, high level, little

Explanation:

Chris Argyris studied the concept of organizational learning how it affects a company.

In his theories, he focused on single loop and double loop learning. He was of the view that single loop learning, in contrast to double loop learning, do not address the issues that affect a company and make it ineffective.

Single loop learning is said to be present when organizational structures such as goals, values, frameworks  are taken for granted.

Chris, thus advocates that single loop learning is appropriate for stable environment, where goals and objective are highly certain and complex measures of performance are required very little.

Otherwise double loop learning should be opted.

5 0
3 years ago
On January 1, Parson Freight Company issues 9.0%, 10-year bonds with a par value of $2,900,000. The bonds pay interest semiannua
RUDIKE [14]

Answer:

d)

Dr Cash 2,702,942

Dr Discount on bonds payable 197,058

    Cr Bonds payable 2,900,000

Explanation:

The bonds payable represents the face value of the bonds. On the other side, you have to register the cash that was received, and the difference is the discount on bonds payable. if the bonds are sold at a premium, then the amount of cash would be higher, and the difference between the cash and the bonds payable would equal premium on bonds.

3 0
3 years ago
On June 30, 2019, bonds were issued at par with a face value of $2,000,000 and a 7% stated interest rate. Each bond has a $1,000
vagabundo [1.1K]

Answer:

The answer is "$84,000 in the numerator and 60,000 in the denominator".

Explanation:

If securities are transformed into stocks. So, the common stack holder  should be have a larger net revenue, calculation of net revenue

= \$ 2,000,000 \times 7 \% \times (1 - 0.40) \\\\=  \$ 2,000,000 \times \frac{7}{100} \times 0.6\\\\=  \$ 20,000 \times 7 \times \frac{6}{10}\\\\=  \$ 2,000\times 7\times 6\\\\=  \$ 2,000 \times 42\\\\=  \$ 84,000\\

In addition, the loads will also raise the total amount of shares which is calculated as follows:

= \frac{\$ 2,000,000}{ \$ 1,000 \times 30}\\\\= \$ 60,000  \ stocks

Formula:

\ EPS =\frac{\ net \ income}{ \ average \ number \ of \ stocks}

That's why in this question numerator is = $ 84, 000 and denominator = $ 60,000

7 0
3 years ago
Do managers manage differently based on where they are in the organization​
ivanzaharov [21]

Answer:

idunno

Explanation:

sorry ha hatdog

8 0
3 years ago
On January 1, Year 2 Grande Company had a $15,000 balance in the Accounts Receivable account and a zero balance in the Allowance
hjlf

Answer:

$62,500

Explanation:

As we know that cash flow statement records the cash inflow and cash outflow and ignored all other transactions which are not made in cash

Since in the question it is given that $62,500 is cash collected from account receivable and the same is to be shown in the operating activities in a positive sign that indicates an inflow of cash

3 0
3 years ago
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