Answer:
The correct answer is D. Is the return investors require on the total assets of the firm.
Explanation:
The Weighted Average Capital Cost (WACC) is a financial measure, which has the purpose of encompassing in a single figure expressed in percentage terms, the cost of the different sources of financing that a company will use to fund a specific project.
To calculate the WACC, it is necessary to know the amounts, interest rates and tax effects of each of the selected sources of financing, so it is worth taking the time to analyze different combinations of these sources and take the one that provides the lower figure
.
Comparatively, without going into the detail of the project evaluation, "the WACC must be less than the profitability of the project to be funded" or expressed in another order, "the project performance must be greater than the WACC."
<span>In my opinion, the managerial implications of a borderless organization could be a language barrier: complete from a different spoken language to even just day to day colloquial words or phrases. Another could be different labor laws in different countries. Another big one is the fact that different time zones could come into play and if improperly accounted for or organized with, this could really turn business upside down.</span>
Answer:
The answer is: a
Explanation:
The Parton Company has a 'make or buy' decision. This decision involves analysing the incremental costs associated with each option. Incremental costs are costs incurred as a result of producing one more unit of a product. If the excess capacity can be utilised to produce the headlights at a lower cost than the cost of acquiring the headlights from an external supplier, then the company should produce the headlights.
The Parton Company incurs $12.80 per headlight purchased from the external supplier. Added to this cost, are the existing costs of operating below plant capacity. If making the headlights in the manufacturing plant yields a positive contribution to fixed costs, then the Parton company should produce the headlights in the manufacturing plant.
By producing the headlights, the Parton company gains a contribution to fixed costs of $1.03 per headlight.
Foregone purchase costs from supplier: $12.80
Incurred costs (directly) from production: ($11.77)
Direct materials ($4.45)
Direct Labour ($3.45)
Manufacturing Overheads: $(6.45*0.6) <u>($3.87)</u>
Net gain per headlight <u> </u><u>$1.03</u>
Any value given up from not going to the movies is the <u>"opportunity cost".</u>
Opportunity costs represent the advantages an individual, speculator or business passes up while picking one option over another. While money related reports don't demonstrate opportunity cost, entrepreneurs can utilize it to settle on taught choices when they have various alternatives previously them. Since they are concealed by definition, opportunity expenses can be neglected in the event that one isn't cautious. By understanding the potential botched chances one renounces by picking one venture over another, better choices can be made.
Answer:
Compensation management is the act of distributing some type of monetary value to an employee for their work by means of the company's policy or procedures. ... Reward management consists of analysing and controlling employee remuneration, compensation and all of the other benefits for the employees
