Answer: Depreciation is tax deductible
Explanation:
Depreciation on assets is recognized by tax authorities as an expense that a business actually incurs so when the income statement is calculated, depreciation needs to be removed as the expense that it is so that taxes can be calculated on the profit.
Depreciation however, does not take actual cash from the company i.e the company does not actually pay anyone cash for depreciation like most other expenses. It needs therefore to be added back to the Free Cash Flow because the FCF deals with how much actual cash the company has which is something that Depreciation being a non-cash expense did not reduce.
Answer:
The correct answer is E. All of the above.
Explanation:
The centralization strategy at a world headquarters does not correspond to a multi-household strategy, since it takes on aspects of a centralized place that is generally conceived to think globally. This task to be considered under the exposed conditions, needs a participation of economies in order to devise solutions to the different problems that could arise but under a local and not globalized environment.
Answer:
are organized more like corporations
Explanation:
These other institutional purchasers are non-government organizations that are more organized like corporations. They buy goods and services for the support of their internal operations. The function of institutions is to better their communities, not to essentially make a profit. Examples are churches, hospitals, and colleges.
Answer:
The answer is A. Treasury Bills
Explanation:
Treasury bills (T bills) are short-term security(debt security) backed by the national government. The maturity period is always less than a year or a year at maximum.
Since the customer's horizon is 3 months, he should walk up to his bank and buy treasury bills. It is always risk free.
Tbills is usually sold at discount to par value i.e the purchase price is less than the face value(value at maturity) of the bill.