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Vedmedyk [2.9K]
4 years ago
15

Ideally, capital budgeting analysis should take cash flows into account . Understanding the nature of projects Capital budgeting

analysis often involves decisions related to expansion projects and/or replacement projects. Based on your understanding of expansion and replacement projects, answer the following: A rental car company bought a new fleet of midsize cars and sold off its old midsize cars because they had too many miles on them. Which type of project would this be considered
Business
1 answer:
andrew11 [14]4 years ago
8 0

Answer:

Replacement project

Explanation:

A Replacement project is a project where to initial investment is disposed of and new investments are made to replace the investments disposed of.

Here the old cars are replaced with new ones. So, it is a replacement project

An expansion project is a project undertaken to increase the capacity or reach of a firm.

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All of the following are challenges of outsourcing, except:
Lorico [155]

Answer:

The correct answer is D

Explanation:

Outsourcing is the term which is defined as the contract or an agreement in which one company hires another company for being responsible or accountable for the existing or planned activity or operation which could be done internally and sometimes, it include the transferring of the assets and employees from one business to another.

So, the outsourcing challenges involve or comprise of the confidentiality, competitive edge and the length of the contract. Therefore, it does not decrease the expense and frustration in relation to retaining and hiring the employees.

5 0
4 years ago
Money facilitates trade because: the division of labor allows goods to be produced at a lower cost. it serves as a medium of exc
Sergeeva-Olga [200]

Answer:

it serves as a medium of exchange

Explanation:

<em>Money facilitates trades because it serves as a medium of exchange.</em>

<u>Trade generally involves the exchange of goods/services for another goods/services or money. The exchange of goods/services for another goods/services is termed trade by barter.</u>

Generally, all over the world, money is recognized as a medium of exchange. Each good/service can easily be evaluated in terms of money and the amount is exchanged during trading.

5 0
4 years ago
Roadway Paving Company contracts to buy some paving equipment from Stonework Earthmovers, Inc. Before either party performs, Sto
Naddika [18.5K]

Answer: demand assurances of performance from stonework

                                         

Explanation: In simple words, assurance of performance refers to the written guarantee from the service provider that the service will be preformed as per the fixed guidelines.

These assurances is very common in contracts  which requires specific performance or performance from a specific person or an entity.

These contracts can be used in the court of law in case any conflict between the related party happens in future, thus it provides satisfaction to the paying party to some extent.

6 0
4 years ago
Awesome Sweets sells different kinds of cookies, candies, and other sweets. Awesome Sweets has a return on assets (ROA) of 6.9%
Nostrana [21]

Answer:

Check industry standards

Explanation:

In order to be sure that a financial indicator is fine, the company must check it against it's market. The above average the better.

7 0
3 years ago
Some ratios use information only from the balance sheet for calculation purpose, while some ratios use information from the inco
ELEN [110]

Answer:

Check the explanation

Explanation:

1) Current Ratio = Balance sheet

current ratio uses current assets and current liabilities of the balance sheet to calculate the ratio.

2) Quick Ratio = Balance sheet

Quick Ratio uses Quick assets and current liabilities of Balance sheet

3) Total Assets Turn Over Ratio = Income statement and Balance sheet

Total assets turn over ratio uses Net sales of Income statement and Avg Assets of Balance sheet to calculate the ratio

4) Debt Equity Ratio = Balance sheet

Debt Equity Ratio uses Debt and Equity of Balance sheet to calculate the Ratio

5) Return on Equity = Income statement and Balance sheet

Return on Equity uses Information of Net Income from Income statement and Shareholders Equity from Balance sheet to calculate the ratio.

6 0
3 years ago
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