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
mariarad [96]
3 years ago
13

Consider the following two mutually exclusive projects:

Business
1 answer:
MatroZZZ [7]3 years ago
8 0

Answer:

1) The IRR of Project X is 10.81%

2) The IRR of Project Y is 10.87%  

3) Cross over rate = 9.65%

Explanation:

1) 0 = -$ 15,600 +  6,740/[1+IRR] + 7,320/[1+IRR]^2 + 4,840/[1+IRR]^3

IRR = 10.81%

Therefore, The IRR of Project X is 10.81%

2) 0 = -$ 15,600 +  7,350/[1+IRR] + 7,700/[1+IRR]^2 + 3,690/[1+IRR]^3

IRR Y = 10.87%

Therefore, The IRR of Project Y is 10.87%  

3) Cross over rate = 9.65% i.e the rate at which NPVs are equal

You might be interested in
Sales Transactions and T Accounts Using T accounts for Cash, Accounts Receivable, Sales Tax Payable, Sales, Sales Returns and Al
MA_775_DIABLO [31]

Answer:

Payment id received for merchanise sold on account

4 0
3 years ago
How do value chains determine business processes and its​ structure??
KatRina [158]
Business processes implement value chains or portions of value chains. Each value chain is supported by one or more business process. The information systems are then implemented in order to make the operation <span>run smoothly and productively.</span>
5 0
3 years ago
Winston churchill's stamp collection was valued at $14 million when he died. at auction, it brought in only $4 million. what was
katrin2010 [14]

$4 million.

An item is worth what the market is willing to pay for it, which is sometimes different than the estimated value.

6 0
3 years ago
Mesa County contracts with New Construct Inc. to build a courthouse. New Construct hires Odell to excavate the site. Odell’s wor
Paraphin [41]

Answer:

c. liable on the ground that Mesa is an intended third-party beneficiary

Explanation:

             In a contract, the third-party beneficiary is a business or a person that benefits from the agreement and the terms of the contract that is made between the two other parties. According to law,  third-party beneficiary have certain rights which they can enforced if the contract is not fulfilled.

            In the context, Mesa is a third party beneficiary. The Mesa County enters into a contract with New Construct Inc. to construct a court house. Now New Construct Inc. again hires the firm Odell to excavate the land site.

            While excavating Odell damages few nearby properties, so Mesa County files a law suit against Odell. But Odell argues that Odell is not in agreement with Mesa County or have not entered into with any contract with the County, so Mesa cannot sue the excavator.

            But the court hold that as Mesa County is the third party beneficiary of the contract and have certain rights, Odell is held liable for the loss and should compensate for the loss to the County.

3 0
2 years ago
In November 2016, General Motors produced a car that was delivered to a local dealership in December 2016. The auto was sold to
horsena [70]

Answer:

It will be counted as investment in 2016 and negative investment in 2017.

Explanation:

National income refers to the total value of a country's final output of all new goods and services produced in one year. There are various ways of measuring national income, e.g. GDP, GNP, etc

Therefore, following national income accounting practices, the car would be counted as part of the investments and GDP of 2016, and negative investment in 2017, because that was the year in which it was produced.

4 0
3 years ago
Other questions:
  • 1. Assume that Walmart can borrow at yield of 5% in USD (5-year, zero coupon debt, issued in the US), before issuance costs. Alt
    7·1 answer
  • AirStep Shoe Company has two retail stores, one in Gainesville and the other in Orlando. The Gainesville store had sales of $165
    12·1 answer
  • Deon is opening a car wash, and he has approached SCORE, a SBA organization that assists small-business owners in setting up the
    12·1 answer
  • True or False. The primacy effect refers to the tendency to recall the items at the beginning and end of a list better than the
    7·1 answer
  • Linda sells 100 bottles of homemade ketchup for $10 each. The cost of the ingredients, the bottles, and the labels was $700. In
    9·1 answer
  • The three steps which will create triangular arbitrage profit are as follows: first step, convert ____; second step, convert ___
    10·1 answer
  • The types of management skills​
    15·1 answer
  • You purchased 100 shares of IBM common stock on margin at $130 per share. Assume the initial margin is 50%, and the maintenance
    15·1 answer
  • Which analogy about leasing or financing a vehicle is correct
    8·1 answer
  • In a economy, the government owns the means of production.
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!