1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Vesnalui [34]
3 years ago
8

The company evaluates all projects by applying the IRR Rule. If the appropriate interest rate is 9%, should the company accept t

his project?

Business
1 answer:
Yuliya22 [10]3 years ago
4 0

Answer: The project should be accepted.

Explanation:

The Internal Rate of Revenue is used to evaluate projects before they are accepted. It is a rate that equates the Net Present Value of cashflows to zero.

If the IRR is higher than the Required return then the Project will be accepted because it means that NPV will be higher than zero. The reverse is true.

Given the cashflows in the question, the IRR is;

= 18.8% according to Excel.

With the IRR higher than the required return of 8%, the project should be accepted.

You might be interested in
On July 31, the bookkeeping account Supplies Inventory shows a debit balance of $1,000. A physical inventory taken on that date
Tanya [424]

Answer:

$200

Explanation:

When Supplies inventory are purchased, a debit is posted to Supplies inventory and a credit to cash account or accounts payable.

As the inventories are used, debit Supplies expense and credit Supplies inventory account.

Given that $1,000 was the debit in the books and $800 per count, it means the books balance needs to be written down to the physical balance. The difference to be posted

= $1,000 - $800

= $200

This will be done by

Debit Supplies expense  $200

Credit Supplies Inventory  $200

Being entries to record inventory used in July

4 0
3 years ago
The landlord of an office building charges tenants $150 per hour for extra HVAC usage after hours. During the last three years,
lidiya [134]

Answer:

$78,375

Explanation:

Actual HVAC usage = 500 + (500 × 10%) = 500 + 50 = 550

Total HVAC income before credit loss = 550 × $150 = $82,500

Total HVAC income before credit loss =  $82,500 - ($82,500 × 5%) = $82,500 - $4,125 = $78,375

Therefore, the approximate heating, ventilation, and air conditioning (HVAC) revenue the landlord will realize is $78,375.

8 0
3 years ago
Cargo Industries began the month with a $10,000 debit balance in the Cash account. During the month, the total of the debit entr
alukav5142 [94]

Answer:

B$10,800 debit balance.

Explanation:

In the given question, first we have to compute the difference of cash account which equals to

= Total debit entries - Total credit entries

= $4,800 - $4,000

= $800 debit

Now add this amount to the beginning balance which equals to

= Beginning amount of cash balance + Difference amount

= $10,000 + $800

= $10,800 debit

7 0
3 years ago
An ad campaign by Suave shampoo asked television viewers to identify the heads of hair of women who used Suave shampoo and condi
Paraphin [41]

Answer:

Suave is most likely using<u> below-market pricing</u> or<u> the penetration pricing strategy.</u>

Explanation:

Penetration pricing is one of the pricing strategies used by the companies. In this strategy, the company gains the customer's attention and market shares by offering their products at low price. This increases the demand of the product or service in the future. This strategy involves below-market pricing to sell the products.    

8 0
3 years ago
In which of the following situations would it be important for a successful, existing
Tamiku [17]
The business plan is the blueprint for your business. If you wanted to build a house, you wouldn't walk over to an empty lot and just start nailing boards together. Starting a business without a business plan is just as risky.

hope this helps :)

7 0
3 years ago
Other questions:
  • Assets = liabilities + owners' equity is the equation for information reported on the
    14·1 answer
  • Think about the videos you have watched. Why is there a need for government regulation, and what limits need to be placed on the
    5·1 answer
  • Changing compounding frequency Using annual, semiannual, and quarterly compounding periods for each of the following, (1) calcul
    6·1 answer
  • Kilroy Corporation provides services to a customer for $1,000. The customer complained that there was a slight defect in the ser
    11·1 answer
  • A car dealership gives another company a consumer's financial records without notifying the consumer. Which regulatory act did t
    11·2 answers
  • Pretax accounting income for the year ended December 31, 2021, was $53 million for Truffles Company. Truffles' taxable income wa
    7·1 answer
  • The following information pertains to the Southern Division of Olson Company: Net Sales $5,250 Variable Costs: Cost of merchandi
    7·1 answer
  • Suppose a relative has promised to give you $1,000 as a wedding gift the day you get engaged. Assuming a constant interest rate
    6·1 answer
  • An investment offers $6,400 per year for 15 years, with the first payment occurring one year from now. If the required return is
    11·1 answer
  • उत्तर प्रदेश कि राजधानी कहा है​
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!