Answer:
$1,956,684
Explanation:
As the project has a expected annual return, we have to calculate future value of this investment to find how much money Cll, Inc. will have after 10 years to reinvest.
We know,
FV = PV × 
Given,
Present Value, PV = $630,000
Annual rate of return, i = 12% = 0.12
Number of period, n = 10 years
Putting the value into the above formula, we can get,
FV = $630,000 × 
FV = $630,000 × 3.105848
FV = $1,956,684
$1,956,684 can be reinvested after the liquidation of 10 years.
Answer:
$121,363
Explanation:
The amount in 30 years is known as the Future Value (FV) . We arrive at this figure by compounding the Present Value using the interest earned on the savings as follows :
PV = $50,000
P/yr = 1
N = 30
PMT = $ 0
i = 3 %
FV = ?
Using a Financial calculator to enter the amounts as shown above, the FV can be determined as $121,363
Current ratio is a comparison of current assets to current liabilities, calculated by dividing your current assets by your current liabilities.
The quick ratio compares the total amount of cash + marketable securities + accounts receivable to the amount of current liabilities.
A. Inventory would be a factor in both of these ration (assets). In both of these industries, inventory would be low. You cannot readily stockpile energy and burgers are perishable items.
B. It is true that both of these industries would have low outstanding accounts receivable because people will need their power to survive and fast food places don't offer credit.
C. These two industries deal with cash mainly. Cash doesn't have to be physical currency, but accounts that can easily be paid.
D. Low current and quick ratios are actually signs of good management not poor management.
All of the above are correct EXCEPT answer D.