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Alexxx [7]
3 years ago
7

A project's net present value can be found by subtracting the cost of the project from the total present value of the future cas

h flows generated by the project.
(A) True
(B) False
Business
1 answer:
Leya [2.2K]3 years ago
5 0

Answer:

(A) True

Explanation:

Net present value: In this approach, the initial investment is subtracted from the cash inflows of the discounted present value. If the sum comes in positive than the project would otherwise not be beneficial to the company.

In mathematically,

Net present value = Total present value of the future cash flows generated by the project after applying discount factor - the cost of the project

The discount factor should be computed by

= 1 ÷ (1 + discount rate) ^ years

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andre [41]
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4 years ago
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The allotment of narrow, specialized portions of a large tasks to specific workers is known as the:
Oksi-84 [34.3K]

The answer is division of labor. It is the segregation of tasks in any system so that applicants may specialize. Individuals, nations, and organizations are gifted with or obtain particular competencies and either form mixtures or skill to take advantage of the capabilities of others in adding to their own. 

8 0
4 years ago
Thomas Kratzer is the purchasing manager for the headquarters of a large insurance company chain with a central inventory operat
klemol [59]

Answer:

A) EOQ = 208.56 units

B) Average inventory = 104.28 units

C) Optimum number of order = 28.76 times

Explanation:

Economic order quantity is the order quantity that minimizes the balance of ordering and carrying cost.

Economic order quantity = √2× 29× 6,000/8=208.56 units

Average inventory = Minimum stock level +  Order quantity/2

minimum stock level is not given , hence

Average inventory = 208.56/2 = 104.28 units

Optimum number of order

Optimum number of order = Demand / order quantity

= 6000/208.56= 28.76 times.

EOQ = 208.56 units

B) Average inventory = 104.28 units

C) Optimum number of order = 28.76 times

3 0
4 years ago
Suppose​ Intel's stock has an expected return of 20.0% and a volatility of 3.0%, while​ Coca-Cola's has an expected return of 7.
d1i1m1o1n [39]

Answer:

a. The portfolio weights that remove all risk is 50% .

b. The risk-free rate of interest in this​ economy is 13.5%

Explanation:

The formula for standard deviation of a portfolio, of which i cannot type:

a. If we let  sigma p = std. deviation of portfolio

rho 1,2 = correlation

if sigma = 0 and rho = -1, then the first equation can be re-written as :

0 = w1^2 * s1^2 + w2^2 * s2^2 + 2 * w1 * w2 * s1 * s2 * -1

0 = (w1s1 - w2s2)^2

w1s1 = w2s2

w1 * 0.03 = w2 * 0.03

w1 = w2 = 50%

Therefore, The portfolio weights that remove all risk is 50% .

b.  Expected return of the portfolio = 0.5*20% + 0.5*7%

                                                         = 13.5%

This portfolio has zero risk, risk free rate = 13.5%

Therefore, The risk-free rate of interest in this​ economy is 13.5%

8 0
4 years ago
What are two major advantages and two major disadvantages of having unions in the United
Anvisha [2.4K]

Answer:

two major advantages of unions:

1. we get more items from different countries

2. Unions promote higher wages and better benefits

two major disadvantages:

1. Labor unions discourage individuality

2. Unions can drive up costs as well as making it harder to promote and terminate workers.

8 0
3 years ago
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