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
MrRa [10]
3 years ago
14

Here are the cash flows for two mutually exclusive projects: Project C0 C1 C2 C3 A −$ 34,400 +$ 13,700 +$ 13,700 +$ 13,700 B − 3

4,400 0 0 + 43,200 a. At what interest rates would you prefer project A to B?
Business
1 answer:
Natali [406]3 years ago
5 0

Answer:

7.89%

Explanation:

We can find the IRR of Project A and Project B is 9% and 8% respectively

(please see the calculation in excel in attachment)

So if the interest rate below 8% then Project A is more profitable than project B.

You can find NPV of each project follow the decrease in interest rate in the excel attached.

Download xlsx
You might be interested in
If you invest 50 percent of your funds in a stock with beta=1.5, 30 percent in a stock with beta=0.9 and 20 percent in a stock w
Ratling [72]

Answer:

1.08

Explanation:

The computation of the portfolio beta is shown below:

Portfolio beta is

= Invested stock percentage × beta of the stock +  Invested stock percentage × beta of the stock +  Invested stock percentage × beta of the stock

= 0.50 × 1.50 + 0.30 × 0.90 + 0.20 × 0.30

= 1.08

We simply applied the above formula so that the portfolio beta could come and the same is to be considered

5 0
3 years ago
Once a week, Smith purchases a six-pack of cola and puts it in his refrigerator for his two children. He invariably discovers th
MArishka [77]

Answer:

Jones purchases a six-pack of cola once a week for his two children, but unlike Smith, he tells them that each may drink no more than three cans.

Explanation:

Cost-benefit analysis is defined as a method to estimate all the costs involved and possible profits that can be achieved in a business opportunity.

Jones purchases a six-pack of cola once a week for his two children, but unlike Smith, he tells them that each may drink no more than three cans.

So, at Smith's house, there's always a chance that one of the siblings will drink the cola before the other.

Therefore,

cola can lasts much longer at Jones's house than at Smith's.

4 0
3 years ago
In​ Japan, it's called kuroi kiri​ (black mist), in​ Germany, it's schmiergeld​ (grease money), Mexicans refer to la mordida​ (t
romanna [79]

Answer:

The answer is bribery.

Explanation:

Bribery is a term used to describe the unethical practice by which a person or group of persons give/promise money or gifts to another person or a group of persons (the recipient) in order to make the recipient take actions that would favour the giver. 

Bribery mostly takes place in public institutions where the recipient is most likely a public official. It is important to note that Bribery does not only describe giving. It also implies taking. Thus both givers and recipients of bribes are guilty of bribery.

The unethical practice called bribery has universal spread as evident in the local name given to it by citizens of different countries. In Japan, it is known as kuroi kiri (black mist). Germans call it schmiergeld (grease money), Mexicans say la mordida (the bite), the French refer to it as pot-de-vin (jug of wine), while Italians call it bustarella (little envelope).

8 0
4 years ago
In part, a transaction affects the accounting equation by decreasing an asset. There is no effect on liabilities. Which of the f
Simora [160]

Answer:

If other assets are unchanged, stockholders' equity must be decreasing.

Explanation:

By using Accounting Equation as follow:

Asset = Equity + Liability

Tot make the equation balance we have to ensure that the effect on it will also has balancing effect.

Decrease in assets might result in decrease in equity or liability and increase in other assets, but here the liability is constant. There could be only two effect that decrease in equity and increase in other asset. There is no option which shows the increase in other asset. So the decrease in equity is the option will has correct effect to balance the accounting equation all other dis-balance the equation.

6 0
3 years ago
To measure the trends of the market area, the appraiser must ask questions about ______________________.
klemol [59]

To measure the trends of the market area, the appraiser must ask questions about supply and demand.

In economics, the relationship between the quantity of a good or service that producers want to sell at different prices and the quantity that consumers want to buy is known as supply and demand.

It serves as the primary model for determining prices in economic theory. The interaction of supply and demand in a market determines the price of a good.

The final price is known as the equilibrium price and signifies a compromise between the good's producers and customers. When a market is in equilibrium, the amount of a good that producers supply and consumers desire are equal.

The price mechanism in a free market equalizes supply and demand. If consumers want to buy more of a product than is offered at the current price, they will tend to bid the price up.

Learn more about supply and demand here:

brainly.com/question/14741584

#SPJ4

6 0
2 years ago
Other questions:
  • In its first month of operations, Literacy for the Illiterate opened a new bookstore and bought merchandise in the following ord
    13·1 answer
  • If you took a new, strong antibiotic, which vitamin would you most likely need that you didn't need before
    9·1 answer
  • Devon is in the market for a new car. After having done her research, she has determined that the Jeep Grand Cherokee is the bes
    12·1 answer
  • Sun Inc. factors $6,000,000 of its accounts receivables without recourse for a finance charge of 3%. The finance company retains
    7·1 answer
  • A corporation has 12 comma 000 shares of 10​%, $ 102.00 par noncumulative preferred stock outstanding and 28 comma 000 shares of
    10·1 answer
  • The ________ holds that an individual should never do anything that is not honest, open, and truthful and that he or she would n
    8·1 answer
  • An entity enters into a contract with a customer to sell products X, Y, and Z in exchange for $250,000. Control over the product
    14·1 answer
  • Durable goods $3,000 Services 6,000 Business purchases of capital goods 400 Fixed investment 850 Exports 600 Imports 800 Nondura
    9·1 answer
  • Just before the year ended, a company offered to buy 4,120 units for $14.95 each. X Company had the capacity to produce the addi
    5·1 answer
  • You want to format a partition with NTFS, and know that the data you'll be storing will consist mostly of many small files. In o
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!