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Nana76 [90]
3 years ago
12

Southern Chicken is considering two projects. Project A consists of creating an outdoor eating area on the unused portion of the

restaurant's property. Project B would use that outdoor space for creating a drive-thru service window. When trying to decide which project to accept, the firm should rely most heavily on which one of the following analytical methods?
Social Studies
1 answer:
vredina [299]3 years ago
6 0

Answer:

Net present value  

Explanation:

A capital budgeting is a process of measuring the ways it helps the businesses or companies to decide and control the financial profitability  as well as the long-term economic of any investment project.

It is planning process which examines the organisation's investment is worth funding or not. It creates measurability and accountability.

There are various methods of capital budgeting. And the best measure for capital budgeting is Net present value. The reasons are --

  • Net present value considers the reinvestment of cash transaction at the discount rate where as another method of Internal Rate Return considers reinvestment at the IRR rate.
  • Net present value considers time value of investment and consider whole period of transaction. While Payback period as well as discounted payback period methods does not provides such considerations.

Thus Net present value is the most accurate and effecting method of capital budgeting.

Therefore the answer is ---

Net present value  

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What does it mean for my career to advance?

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Why is job advancement so crucial?

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Gemiola [76]
Federal law doesnt mandate it
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3 years ago
Tolerable misstatement is used to
Mice21 [21]

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It is used to determine sample size, select and evaluate sample. So,options A to D are correct

Explanation:

When a financial statement line item deviate from its true amount without impacting a justified presentation of the entire financial statements, their occur a deviation in amount. This deviation in amount is known as TOLERABLA MISSTATEMENT.

Tolerable misstatements is used by auditors to evaluate the financial statements of a client.

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' Cuneiform was invented by the Sumerians around 3500 BCE in Mesopotamia. This Ancient civilization encouraged this writing form. Many of the great ancient civilizations used this form such as the Babylonians, Akkadians, the Hittites, and the Assyrians. Cuneiform was created to keep records of goods and activity.

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The GDP deflator is a price index that tracks the average prices of all finished products and services produced inside a country's boundaries over time. It is used to adjust nominal GDP to determine real GDP.

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