1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
aleksklad [387]
3 years ago
7

The reason why reinvested earnings have a cost equal to the required rate of return is because investors expect to earn on those

funds, what they earn on new projects or purchases of other firms. This is called opportunity costs.True / False.
Business
1 answer:
KatRina [158]3 years ago
4 0

Answer:

true the investors expect to earn on those funds

You might be interested in
When starting a new job, the form you complete to determine how much tax to withhold from your paycheck is called the _______.
maksim [4K]
Letter D. W-4 is the answer to your question.
5 0
3 years ago
Read 2 more answers
Your venture has net income of $600,000 taxable income of $1,000,000 operating profit of $1,200,000 total financial capital incl
Butoxors [25]

Answer:

EVA = -$180,000

Explanation:

given data

net income = $600,000

taxable income of $1,000,000

operating profit = $1,200,000

total financial capital = $9,000,000

tax rate = 40%

WACC = 10%

solution

we get here EVA that is express as

EVA = NOPAT - Invested Capital × WACC   ..................1

and here

NOPAT = EBIT × ( 1 - Tax Rate )  .........2

put here value

NOPAT = operating profit × (1 - Tax Rate)  

NOPAT =$1,200,000 × (1 - 0.40)  

NOPAT =$720,000

so put in equation 1 we get

EVA = NOPAT - Invested Capital × WACC

EVA = $720,000 - $9,000,000 × 10%

EVA = -$180,000

3 0
3 years ago
If an individual investor uses the services of a broker to buy and sell stocks that are currently being traded in the stock mark
sergejj [24]

Answer:

a. False

Explanation:

A "primary transaction" refers to the selling of <em>new stocks and bonds</em> for the first time towards the public. A great example of this is the "Initial Public Offering" <em>(IPO)</em> which allows "public share issuance."

On the other hand, a "secondary transaction" refers to the<em> trading of investors among themselves.</em> There is no involvement of the issuing companies here. So, this means that if an investor uses the services of a broker to buy and sell stocks that are currently being traded in the stock market,<u> the transaction</u><u> doesn't directly involve the issuing compan</u><u>y.</u> This kind of transaction is then called "secondary."

So, this explains the answer.

8 0
3 years ago
There are four functions of management: planning, leading, organizing and controlling. The controlling function of management is
Fantom [35]

Answer: True

Explanation:

Proper planning without control is futile, this is because a blue print may have been put in place in the planning process but it becomes imperative for management to set up institutions or machineries to ensure that plans are executed as expected and there are remedial actions or plans in place in the event when unexpected events come up to distort achievement of the goal.

Proper control leads to achievement of organizational goals.

6 0
3 years ago
PLEASE HELP ASAP!! CORRECT ANSWER ONLY PLEASE!!!
nlexa [21]

Answer:

A

Explanation:

8 0
2 years ago
Other questions:
  • An analysis of comparative balance sheets, the current year’s income statement, and the general ledger accounts of Wellman Corp.
    15·1 answer
  • A population grows with an annual growth rate of 16.3 % per year. (a) what is the monthly growth rate?
    8·1 answer
  • Consider the subschema of a receiving clerk. The receiving clerk needs sufficient rights in her logical view to perform her duti
    14·1 answer
  • Tache Corporation uses the weighted-average method in its process costing system. The first processing department, the Welding D
    13·1 answer
  • A smaller business with variable cash flow is looking to establish a pension plan for its 50 employees. It wants a plan that all
    11·2 answers
  • Which of the following is correct about employment relationships?
    11·1 answer
  • A,B,C, or D on 8-10__________
    7·1 answer
  • The estimated factory overhead cost for a Co. is $1750000 for the year. Direct labor hours are estimated to be 500000. Determine
    10·1 answer
  • The __________ perspective of management, which emerged from the Industrial Revolution, focuses on improving the efficiency, pro
    8·1 answer
  • The following balances are available for Chrisman Company:
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!