Answer:
d. 23.84%
Explanation:
Years Cash-flow
0 -650,000
1 350,000
2 325,000
3 150,000
4 180,000
Using MS Excel IRR function
Internal rate of return = IRR(Cashflow year 0, 1, 2, 3, 4)
Internal rate of return = 23.84%
So, the internal rate of return of this project is 23.84%.
Answer:
$277
Explanation:
Particular Amount
Pre-Tax Accounting Income $310
<em><u>Adjustments</u></em>
Add: Overweight Fines $12
Add: Depreciation Expenses $77
Less: Depreciation as per tax return <u>$122</u>
Taxable Income <u>$277</u>
Therefore, Franklin's taxable income is $277.
Answer:
The interest rate would be unaffected.
Explanation:
Option A, “Interest rate would be unaffected” is correct because, in a market for loanable funds, the government has decreased the tax rate on the amount of interest. At the same time, this will increase the interest-earning of consumers however the interest rate on the money will be unaffected. The intervention made by the government resulted in an increase in interest-earning. Moreover, a reduction in the tax rate will induce people to save more in order to earn more interest.
By definition, when we say capital resource, this is the good that produced or used <span>to make other goods and services. In the given scenario above about John, the one that is John's need that is considered as a capital resource would be the cow. This cow produces milk which he can sell and earn. Hope this answers your question.</span>