Answer: d. Entire initial investment will not be recovered.
Explanation:
The Payback period by definition is the amount of time it will take a Project to recover the initial investment into it. For example, if a project had an investment of $20 million and made $5 million every year, the Payback period would be 4 years.
Now, if the amount of time it will take to recover an investment is longer than the expected amount of time the project will run (expected useful life) then logically speaking that would mean that the Investment would not be entirely recovered because the project will be done before it can pay off the investment hence Option D is correct.
Which make easier the measurement of economic activity in the three ..... the strategy used by firms that have as many different product
Intersect. On a graph that is where they intersect.
Answer:
see below
Explanation:
he farmers must have considered the ability to repay back loans when making the decision. The ability of a business to meet its current obligations is expressed by the current ratio.
The current ratio or working capital ratio communicates a firm's ability to repay debts as they become due. The higher the ratio, the better.
the current ratio is calculated as current assets/current liabilities
For Firm A,
current ratio =$150,000/ $125,000.
=1.2
For Firm B,
current ratio =$100,000/$75,000
=1.333
Firm B has a better current ratio than Firm A. Firm B is in a better position to repay loans compared to Firm A.
Answer:
A. High
Explanation:
When an investment is considered risky, investors would demand a high rate of return as compensation for holding a risky investment.
The required rate of return is usually higher than the short term t bills rate.
I hope my answer helps you.
