<span>it requires a company or individual divide resources on multiple targets rather than one. Therefore, one must use these resources more efficiently because he or she is using the same amount, usually concentrated on one target, on multiple. A company should only use this strategy if it is extremely confident in its ability to market simultaneously to multiple groups.</span>
Answer:
R is a better alternative because it has a higher NPV than Q.
Explanation:
Machines Q R
First costs $380,000 $395,000
Net annual revenue $150,000 in year 1, $152,500
increasing by $500
per year thereafter
Salvage value $4,000 0
Life, years 8 10
MACRS 7 year recovery:
year % Q R
1 14.29% 54,302 56,445.50
2 24.49% 93,062 96,735.50
3 17.49% 66,462 69,085.50
4 12.49% 47,462 49,335.50
5 8.93% 33,934 35,273.50
6 8.92% 33,896 35,234.00
7 8.93% 33,934 35,273.50
8 4.46% 16,948 17,617.00
net cash flow
year Q R
1 116,505.70 118,880.93
2 130,396.70 132,982.43
3 121,411.70 123,304.93
4 115,086.70 116,392.43
5 110,676.90 111,470.73
6 110,930.10 111,456.90
7 111,326.90 111,470.73
8 108,306.80 105,290.95
9 99,125
10 99,125
Using a financial calculator, I calculated the NPV using a 12% discount rate:
- Q's NPV = $200,636.15
- R's NPV = $259,221.01
Answer:
high savings rate
Explanation:
High savings rate is not a goal of federal economic policy. The goal of federal economic policy is to achieve full employment, economic growth and stable prices.
However 'high savings rate' is achieved when interest rates are increased in order to fight inflation and achieve 'stable prices' because people keep their money in the banks to take advantage of the benefit of earning interest BUT this is not always the case because 'higher interest rates' works against full employment by making it too costly for firms to borrow for investments which will definitely create jobs.
Answer:
Im not entirely sure, but i think
2. Should be D
3. Should be A
(i could be wrong but im about 90 percent sure those r right)
Explanation:
Answer: Cost Approach
Explanation:
The best method Vincent should use for valuation is the cost approach.
The cost approach is a method of worth estimation that considers the cost of building an already existing structure: checking the value of the land used for building, the cost of construction and subtracting the devaluation overtime.