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Sindrei [870]
3 years ago
9

A company has a minimum required rate of return of 8% and is considering investing in a project that costs $175,000 and is expec

ted to generate cash inflows of $70,000 at the end of each year for three years. What would be the net present value of this project?
Business
1 answer:
Daniel [21]3 years ago
5 0

Answer: $5,396.79

Explanation:

The net present value is value of the after tax cash flows from an investment minus the value of the amount invested.

The net present value can be found using a financial calculator.

Cash flow for year zero = $-175,000

Cash flow for each year from year 1 to year 3 = 70,000

I = 8%

NPV =$5,396.79

I hope my answer helps you

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Which one of the following is not true when the economy is in macroeconomic​ equilibrium? A. When the economy is at​ long-run eq
uranmaximum [27]

Answer:

The correct answer to the following question will be Option C.

Explanation:

  • Throughout the macroeconomic equilibrium, the aggregate supply curve becomes equivalent to something like the supply curve, the real GDP seems to be comparable to potential Output (GDP), however, if frictional as well as systemic unemployment seems to be the maximum total poverty throughout the longer term.
  • Consequently, whenever the economy seems to be in macroeconomic equilibrium, the argument which is not accurate would be that the businesses would have excess power.

So that Option C is the right answer.

6 0
2 years ago
Deitz Corporation is projecting a cash balance of $33,300 in its December 31, 2019, balance sheet. Deitz’s schedule of expected
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Answer:

Deitz Corporation

Cash Budget

For the Quarter ended March 31, 2020:

Beginning balance                              $33,300

Cash Collections From Customers   205,350

Sale of Equipment                                   3,330

Total available cash                          $241,980

Cash Payments:

Direct materials               $47,730

Direct labor                        77,700

Manufacturing overhead  38,850

Selling & Administrative   49,950

Purchase of Securities      15,540  $(229,770)

Ending Balance                                   $12,210

Minimum Balance                                27,750

Shortfall                                              $15,540

Explanation:

Deitz Corporation uses this Cash Budget which it has prepared to understand its financial needs for the next quarter.  For example, with the minimum balance of $27,750 most likely based on past experience the corporation will start making arrangements for some outside funds to the tune of $15,540 or more to meet its cash needs for the first quarter.

7 0
3 years ago
Which of the following statements about ticket scalping is correct? Multiple Choice
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Answer:

B. Scalping tends to be prevalent when there is a shortage of tickets.

Explanation:

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It is the method of buying the tickets of any event or show and then selling them at a much higher price to another person , is known as the process of ticket scalping .

It is an illegitimate practice .

Hence , during the shortage of ticket , the process of ticket scalping is increased .

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3 years ago
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4 0
2 years ago
Patrick has an adjusted gross income of $160,000 in the current year. He donated $30,000 in cash to a public charity, capital ga
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An$8,000

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Explanation:

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5 0
2 years ago
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