If the company requires a return of 10 percent for such an investment, calculate the present value of the project.
The present value of the project is $72349.51.
Since we consider only incremental cash flows for a project, we consider $21,600 for year one and calculate a 4% increase for each of the additional years.
We then calculate the Present Value Interest Factor (PVIF) at 10% for four years using the formula :
PVIF = 1 / [(1+r)^n]
Next, we find the product of the respective cash flows and PVIF for each year.
Finally, we find the total of the discounted cash flows for the four years to find the Present Value of the project.
Answer:
The Act was introduced to: promote a fair and non-discriminatory marketplace for access to consumer credit
Explanation:
The National Credit Act was enacted on the premise that consumers need to be protected from this practice. The Act thus exerts pressure on the credit lenders to assess the consumer's ability to repay, disclose the cost of credit, as well as setting limit on interest that can be charged.
Answer:
The correct answer is letter "C": is an assumption that economists make to have a useful model for how decisions are made.
Explanation:
Rational Behavior guides the decision-making process towards choices that maximize individuals' benefits. Most economic theories assume that any individual taking part in action or activity is behaving rationally. Given the choice, people would choose something that increases their satisfaction.
Answer:b
Explanation:
if you show that other companies profit from what you sell people would want to by the product
E.6.C
Answer: The general ledger accounts do not provide the accounting information that managers of job order cost operations need to plan and control production activities.
Explanation:
A general ledger account is an account that is used in an organization to sort and summarize the transactions of an organization. These form of accounts are arranged in a general ledger and the balance sheet will have to appear first which is then followed by income statement.
It is also used to record every journal transactions that has taken place in order to prepare trial balance. General ledger accounts don't accounting information to the job order cost operations need to plan and control production activities due to the fact that costing had to do with several costs.
