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Readme [11.4K]
3 years ago
10

The method of analyzing capital investment proposals that divides the average annual income by the initial investment is:a.accou

nting rate of return method b.cash payback method c.internal rate of return method d.net present value method
Business
2 answers:
Leno4ka [110]3 years ago
6 0

Answer:

A. Accounting rate of return method

Explanation:

Accounting rate of return method (ARR) is used to express the expected rate of return on an investment. It describes assets as compared to initial investment cost. A pitfall to the ARR method is that it doesnt consider cash flow or the time value of money.

Mathematically, it is calculated as

ARR = Average annual income/initial investment

Where

ARR = Accounting rate of return.

ARR helps us in determining the profitability of an investment.

iren [92.7K]3 years ago
4 0

Answer: Accounting rate of return

Explanation:

The accounting rate of return is the percentage rate of return that is expected on an asset or investment as compared to the initial investment cost of the investment.

In an accounting rate of return, the average revenue from an asset.is divided by the company's initial investment in order to derive the ratio or the return that can be gotten over the lifetime of the investment or asset. The accounting rate of return does not consider cash flows or the time value of money.

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In 1626, Dutchman Peter Minuit purchased Manhattan Island from a local Native American tribe. Historians estimate that the price
nalin [4]

Answer:

$199,576,970,307.56

Explanation:

Given:

Price paid for the island = $24

Annual interest rate, r = 6%

Duration, n = 392 years

Now,

Future value is given as:

Future value = Present value × ( 1 + r )ⁿ

on substituting the respective values, we get

Future value = $24 × ( 1 + 0.06 )³⁹²

or

Future value = $24 × 8315707096.148

or

Future value = $199,576,970,307.56

6 0
3 years ago
Brand x batteries have a mean life span of 102 hours, with a standard deviation of 6.8 hours. brand y batteries have a mean life
prohojiy [21]

Answer:

about 68% of brand x’s batteries have a lifespan between 95.2 hours and 108.8 hours. about 68% of brand y’s batteries have a lifespan between 98.6 hours and 101.4 hours. the life span of brand y’s battery is more likely to be consistently close to the mean.

Explanation:

According to the empirical rule (68–95–99.7 rule) for a normal distribution, 68% of the data falls within the first standard deviation (μ ± σ).

Given for brand x, mean (μ) = 102 hours and standard deviation (σ) = 6.8 hours.

first standard deviation (μ ± σ) = 102 ± 6.8 = (95.2, 108.8)

about 68% of brand x’s batteries have a lifespan between 95.2 hours and 108.8 hours.

Given for brand y, mean (μ) = 100 hours and standard deviation (σ) = 1.4 hours.

first standard deviation (μ ± σ) = 100 ± 1.4 = (98.6, 101.4)

about 68% of brand x’s batteries have a lifespan between 98.6 hours and 101.4 hours.

Since the standard deviation of brand y is smaller than that of brand x, brand y battery is more likely to be consistently close to the mean

5 0
4 years ago
Total taxes paid divided by total income is called the
Natasha_Volkova [10]
Hi.

I believe this is called the average tax rate.

~
3 0
3 years ago
Read 2 more answers
Latasha is training for a triathlon, a timed race that combines swimming, biking, and running. Consider the following sentence:
andreev551 [17]

The principle that Latasha caters for that her husband does not is that <u>d. Many </u><u>decisions </u><u>are taken using </u><u>marginal thinking. </u>

<h3>Marginal decision making</h3>
  • Involves making decisions based on the marginal costs and benefits.
  • A person will make a decision that has more benefits than costs.

By swimming more, Latasha would make get the benefit of being better at something she is already good at. If all she does is swimming however, she would incur costs of losing out in the other activities which would surpass the benefits of being good in swimming alone.

In conclusion, option D is correct.

Find out more about marginal decision making at brainly.com/question/13764545.

3 0
3 years ago
Leo, a resident of Missouri, owns a warehouse in Nebraska. A dispute arises over the ownership of the warehouse with Opal, a res
Alexandra [31]

Regarding this suit, Nebraska has in rem jurisdiction.

Explanation:

It  is the legal term which defines the power over real or private property or the rights of an individual about whom the judge has no jurisdiction in personal.

For example, if a divorce couple wants a court to control its family home transactions, the court has access to the property.

Judgement in rem is a decision on the nature of a certain subject matter, or taken in a property case, with no knowledge of the claimant or of others involved in the land.

7 0
4 years ago
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