Answer:
NPV = $1.49 million
Explanation:
<em>The NPV is the difference between the PV of cash inflows and the PV of cash outflows. A positive NPV implies a good investment decision and a negative figure implies the opposite. </em>
<em>NPV of an investment: </em>
NPV = PV of Cash inflows - PV of cash outflow
But we will need to work out the discount rate to be used for discounting the cash flows. Hence, we need to determine the cost of capital as follows:
Step 1: After-tax cost of debt
After tax cost of debt = pre-tax cost of debt × (1-tax rate rate)
= 9%× (1--0.3)=6.3%
Step 2 : Weighted Average cost of capital (WACC)
WACC=( 0.25×6.3%) + (0.75× 13%) =11.325
%
Step 3:Net Present Value (NPV)
PV of cash inflow= (1- (1.11325^-5)/0.11325)× 13.5 = 49.49 million
Initial cost = $48 million
NPV = 49.49 million - $48 million =$1.49 million
NPV = $1.49 million
Answer: monitoring, management of personal resources, time management
Explanation:
Answer:
An externality exists if a financial transaction affects the benefit to third parties. Externalities can be both positive and negative, depending if these affect the benefit to third parties on a positive or negative way.
An example of a negative external effect is air pollution; a factory owner may lack the incentive to limit air pollutant emissions because the damage mainly affects someone else, that is, it doesn't affect his property, but someone else's property or common property (such as the case of the environment).
Therefore, if there were more specific regulations regarding property and the effects of the misuse of this right, contamination could be avoided.
The uncontrolled, competitive market equilibrium in the aforementioned graph has a tuition of $18,000 and a quantity of 30 million college students.
<h3>What Is Competitive Equilibrium? </h3>
Competitive equilibrium is a situation in which profit-maximizing producers and utility-maximizing customers reach an equilibrium price in competitive markets with freely determined prices. The quantity supplied and the quantity demanded are equal at the equilibrium price.
<h3>Why do competitive marketplaces alter equilibrium?</h3>
The market is constantly moving towards equilibrium because if the price is too high, there is a surplus and prices tend to drop until the surplus is sold and equilibrium is attained, and if the price is too low, there is a shortage and manufacturers raise prices and increase quantity provided.
Learn more about competitive market equilibrium: brainly.com/question/14412690
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Answer: c) having limited ability to respond to changes in product and quality
Explanation:
JIT or Just In Time is a system that eliminates waste, reduces the time of production and improves product quality by focusing on customers' wants and having as little lag as possible between order to delivery time.
It is based on rapid throughput, inventory is purchased in discrete quantities as at when needed and production is carried out based on customers' orders or what is believed will be sold. This system does not leave room for any variances in product or quality.
