Answer:
$5,055,000
Explanation:
Note: <em>The full question is attached below</em>
<em />
Particulars Amount
Cash $875,000
Accounts receivable $2,695,000
Less: Installments not due in 2021 <u>($600,000)</u> $2,095,000
[$1,200,000 - ($150,000 * 4)]
Inventory <u>$2,085,000</u>
Total of current assets <u>$5,055,000</u>
Two methods of capital investment analysis that incorporate the time value of money are -Net Present Value and Discounted Cash Flow
1- Net Present Value
Net Present Value reduces the expected future cash flows by a specific rate to arrive at their value in today's terms. After subtracting the initial investment cost from the present value of the expected cash flows, it can be determined whether the project is worth pursuing. If the NPV is a positive number, it means it's worth pursuing while a negative NPV means the future cash flows aren't generating enough return to be worth it and cover the initial investment.
2- Discounted Cash Flow
With DCF analysis, the discount rate is typically the rate of return that's considered risk-free and represents the alternative investment of the project. The present value is the value of the expected cash flows in today's dollars by discounting or subtracting the discount rate. If the result or present value of the cash flows is greater than the rate of return from the discount rate, the investment is worth pursuing.
To learn more about Net Present Value and Discounted Cash Flow here
brainly.com/question/23040788
#SPJ4
Answer:
the amount specified is reasonable and actual damages are difficult to determine.
Explanation:
Liquidated damages provision is a contract that is drawn up between parties in a transaction. It defines the damages that will be paid by a party for non performance in a contractual agreement.
The liquidated damages provision is enforceable when a contract is breached and it is difficult to determine the amount of actual damage done. The next option will be to use the stated amount in the contract so far it is reasonable.
It would be A because the two components are adventure travel