Answer:
IRR = 43.51%
Explanation:
<em>It is the discount rate that equates the present value of cash inflow to the present value of cash outflow from the same project.</em>
<em>The internal rate of return is the maximum cost of capital that can be used to appraise a project without cursing harm to the shareholders or investors.</em>
<em>The IRR produces a Net present value(NPV) of zero.</em>
The IRR can be determined using the formula below:
IRR = IRR = a% + (NPVa/NPVa + NPV b)× (b-a)%
a%- lower discount rate.
b% - Higer discount rate
NPVa- NPV using lower discount rate
NPVb- NPV using higher discount rate
We use 7.6% and 50% as trial discount rates as follows:
NPV at 7.6%
PV of inflow = (1- 1.076^(-3)/0.076 ) × 5.04
NPV = (1- 1.076^(-3) × 5.04 - 8.01 =5.0728 million
NPV at 50%
PV of inflow = (1- 1.50^(-3)/0.5) × 5.04
NPV =(1- 1.50^(-3)/0.5) × 5.04 - 8.01 = -0.91666
IRR = a% + (NPVa/NPVa + NPV b)× (b-a)%
= 7.6% + (5.0728/(5.0728 + 0.91666)) × (50-7.6)%
= 43.51%
IRR = 43.51%
Answer:
Instructions are listed below.
Explanation:
Giving the following information:
During the year, Allyson manufactured 90,000 jet skis. Finished goods inventory had the following units:
January 1: 18,000
December 31: 18,000
A) We need to use the following formula:
Units sold= beginning inventory + production - ending inventory
Units sold= 18,000 + 90,000 - 18,000= 90,000 units
B) Unitary cost= $2,600
Cost of goods sold= sold units* unitary cost
COGS= 90,000*2,600= $234,000,000
Answer:
a. In Rapid Pac's statement of cash flows, what were net cash inflows (or outflows) from investing activities for 2016?
Proceeds from sale of land $10.8
Purchase of Microsoft common stock -$162.0
net outflow = -$151.2 million
b. In Rapid Pac's statement of cash flows. what were net cash inflows (or outflows) from financing activities for 2016?
Payment for the early extinguishment of long-term bonds (book value: $91.0 million) -$91.0
Proceeds from the sale of treasury stock (cost: $27.0 million) $32.0
Distribution of cash dividends declared in 2020 -$58.0
net outflow = -$117 million
Answer: Option C
Explanation: Sovereignty is a governing body's absolute right and authority over itself, without intrusion from third party sources or bodies.
Sovereignty is a substantive term in political theory defining supreme authority above a certain polity.Hence any law that is implemented in USA will be followed only by american companies or foreign companies operating there. These laws are not applicable for German firms due to their principle of sovereignty
