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3 years ago

7

Enterprise Free Cash Flows should include which of the following: I. Capital expenditures II. Financing costs III. Taxes IV. Wor

king capital requirements

1 answer:

valentina_108 [34]3 years ago

5 0

Answer:

I. Capital expenditures

III. Taxes

IV. Working capital requirements

Explanation:

Free cash flow = EBIT*(1 - tax rate) + depreciation - changes in net working capital - capital expenditure

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Primary and secondary liability only relates to signature liability, not to warranty liability.

Elanso [62]

Answer:

B. False

Explanation:

4 0

3 years ago

Read 2 more answers

a shopper seeking a bargain combined a 25% off coupon with the store's existing 25% off sale, and brought enough money to cover

lukranit [14]

Because the % discounts cannot be added to calculate the final price.

The first discount is over the original price but the second discount is over the already discounted price.

You can find a combined factor if you multiply the two factors.

Discount of 25% => Factor = 0.75

Now you can find the combined factor by multilplying 0.75*.75 = 0.5625

That means that the final price will be the original price times 0.5625 (or what is the same that the discount is 100 - 56.25 = 43.75%.

Then the operation results in a higher price than if you multiply by 0.5 (50% discount).

In conclusion the discount resulting from two consecutive 25% discounts is less than a 50% discount.

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3 years ago

1. The closing entry for the Loss on Plant Assets account includes a debit to (A) Retained Earnings. (B) Income Summary. (C) Los

kotykmax [81]

Answer:

The correct answer is (B) Income Summary

Explanation:

The income summary is a procedure that allows us to glimpse, globally, all the entries that existed in a period. It provides very valuable generalized information, which lets you know how business, work or some investment is going.

To ensure that our results are accurate, we must close all income and expense accounts, and take stock to obtain our conclusions. If the results have not been favorable, we must make the necessary adjustments so that in the next income summary we can obtain better results.

7 0

3 years ago

An individual is now 50 years old, that he plans to retire in 10 years, and that he expects to live for 25 years after he retire

Nutka1998 [239]

Answer:

Ans. He must save during each of the following 10 years, at the end of each year $32,452.

Explanation:

Hi, in order to find the amount of money that he should have in ten years so he can receive an annual payment of $65,156 for 25 more years (24 payments), we need to bring to present value all 24 payments to year 10. Let me show you the formula.

$PresentValue_{10} =\frac{A((1+r)^{n}-1) }{r(1+r)^{n} }$

Where:

A= $65,156

n= 24

r= 0.08

Therefore the present value in year 10 is:

$PresentValue_{10} =\frac{65,156((1+0.08)^{24}-1) }{0.08(1+0.08)^{24} }=686,012$

So that is our present value in year 10, or to put it in other words, our future value (if we look at it from year 0). Now we need to find the annuity (amount to save) that with account for $686,012, plus that $100,000 that he already has saved.

Every should look like this.

$686,012=100,000*(1+0.08)^{10} +\frac{A((1+0.08)^{10}-1) }{0.08(1+0.08)^{10} }$

And we solve this equation for "A".

$686,012=A(14.4865625)+215,892$

$A=\frac{(686,012-215,892)}{14.4865625} =32,452$

Best of luck.

5 0

3 years ago

How much potential money could be created from a new deposit of $2,000 and with a reserve ratio of 10%? How would it affect the

Ghella [55]

Answer:

To calculate the effect of the bank's ability to create money with a decrease in reserve ratio.

Given:

New deposits= $2000, Reserve ratio= 10 percent

To calculate the money multiplier= 1/10%= 1/0.1= 10

To calculate the money that was created we multiply the multiplier by the new deposits.

Therefore: 10*2000= $20,000

To calculate the amount created when the reserve ratio is 5%

To calculate the money multiplier= 1/5%= 1/0.05= 20

Therefore the money created will be 20*2000= $40,000

Based on $20000 extra gained, a decrease in the reserve ratio to 5% will lead to an increase in the capacity f the bank to make more money.

Explanation:

To calculate the effect of the bank's ability to create money with a decrease in reserve ratio.

Given:

New deposits= $2000, Reserve ratio= 10 percent

To calculate the money multiplier= 1/10%= 1/0.1= 10

To calculate the money that was created we multiply the multiplier by the new deposits.

Therefore: 10*2000= $20,000

To calculate the amount created when the reserve ratio is 5%

To calculate the money multiplier= 1/5%= 1/0.05= 20

Therefore the money created will be 20*2000= $40,000

Based on $20000 extra gained, a decrease in the reserve ratio to 5% will lead to an increase in the capacity f the bank to make more money.

7 0

3 years ago