Answer:
inflation <u>SHOULD BE</u> included explicitly in the cash flow analysis, and debt payments by the subsidiary <u>SHOULD BE</u> included explicitly in the cash flow analysis.
Explanation:
A capital budgeting analysis is carried out in order to determine how a company should invest their capital assets.
The discounted cash flow method is the primary tools used in this type of analysis. Cash flows from foreign countries that have high inflation rates will be negatively affected since high inflation tends to currency depreciation which in turn leads to lower cash flows in US dollars. The same applies to debt payments made by the subsidiaries since they also reduce net cash flows. Lower net cash flows result in lower NPV and IRR.
Answer:
c. Inferior
Explanation:
Based on the information provided it can be said that this behavior would indicate that to John, a bus ride is an inferior good. This term by definition is a good whose demand decreases when consumer's income rises. Since John received an increased salary with his promotion, he is now able to afford to be able to drive instead of taking the bus. Therefore his demand for taking the bus has drastically decreased.
Answer:
Dr Land account 90,000
Cr Preferred Stock account 81,250
Cr Paid-in Capital in Excess of Par Value - Preferred Stock account 8,750
Explanation:
When preferred stock is sold, the transaction must be recorded at par value in the preferred stock account. Any amount of money received over par value, must be recorded in the paid-in capital in excess of par value - preferred stock account.
Answer:
The term professional communication refers to the various forms of speaking, listening, writing, and responding carried out both in and beyond the workplace, whether in person or electronically.
Explanation:
The memo line is the least important part.
