1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Veronika [31]
3 years ago
5

1. Identify and describe two incremental cash flows from a proposed project such as expanding a product line or launching a new

product or service.
2. Define the payback, net present value, internal rate of return, and profitability index method
Business
1 answer:
Mazyrski [523]3 years ago
6 0

Answer:

Explanation:

1. Incremental cash flow is the potential increase or decrease in cash flow from an investment this could be positive or negative.

In this case in expanding a product line or launching a new project incremental cash flow could be.

a. Positive: this is the increase in cash flow due to the product launch and expansion.

b. Negative: this is the decrease in cash flow due to the product launch and expansion

2. a. Payback:

profit gotten from an initial investment equal to what was initially invested

b. Net Present Value(NPV)

This is the difference between present value of income and present value of expenditure over a period of time.

c. Internal Rate of Return(IRR)

Measure the rates of returns for an investment excluding external factors such as risk free rates, inflation e.t.c

d. Profitability Index Method (PIM)

this is the  lowest acceptable measures of the rates of returns for an investment excluding external factors such as risk free rates,inflation e.t.c

You might be interested in
The following Information applies to the questions displayed below.) Bargain Rental Car offers rental cars in an off-airport loc
butalik [34]

Answer:

a. The variable cost per rental return is $4.04.

b. The monthly fixed cost Incurred to wash cars is $1,376.

Explanation:

Note: See the attached excel file for the calculations of Rental Returns (x), Car Wash Costs (y), xy, and x^2.

Since Σ = Total of or summation of, we can therefore obtain the following from the attached excel file:

Σx = 34,854

Σy = 157,317

Σxy = 462,541,971

Σx^2 = 102,623,516

N = Number of months = 12

a. calculation of variable cost per rental return

To calculate the variable cost per rental return, the following formula is used:

Variable cost per rental return = (NΣxy − ΣxΣy) /((NΣx²) − (Σx)²) ……………… (1)

Substituting the relevant values into equation (1), we have:

Variable cost per rental return = ((12 * 462,541,971) - (34,854 * 157,317)) / (((12 * 102,623,516) - 34,854^2)

Variable cost per rental return = 4.03917240317595

Rounding to 2 decimal places as required, we have:

Variable cost per rental return = $4.04

Therefore, the variable cost per rental return is $4.04.

b. Calculation of monthly fixed cost Incurred to wash cars

To calculate the monthly fixed cost Incurred to wash cars, the following formula is used:

Fixed Cost per month =  {Σy - (Variable cost per rental return * Σx) / N ....... (2)

Substituting the relevant values into equation (2), we have:

Fixed Cost per month = (157,317 - (4.04 * 34,854)) / 12

Fixed Cost per month = $1,375.57

Rounding to the nearest whole dollar amount as required, we have:

Fixed Cost per month = $1,376

Therefore, the monthly fixed cost Incurred to wash cars is $1,376.

Download xlsx
8 0
3 years ago
Why did the housing market crash in 2008
Komok [63]
Because the banks were down
8 0
3 years ago
Read 2 more answers
Fashion, Inc. had a Retained Earnings balance of $13,000 at December 31, 2018. The company had an average annual income of $6,50
kompoz [17]

Answer:

2.$19,500.

Explanation:

The computation of the amount of dividend is shown below:

As we know that

Ending retained earning balance = Beginning retained earning balance + net income - cash dividend paid

$13,000 = $13,000 + $6,500 × 3 years - cash dividend paid

So, the cash dividend paid is $19,500

We simply applied the above formula

Hence, the correct option is 2.

6 0
3 years ago
Corentine Co. had $154,000 of accounts payable on September 30 and $133,500 on October 31. Total purchases on account during Oct
cupoosta [38]

Answer:

Explanation:

a.                                        Accounts Payable

Payments on account   $303,500 | Beginning balance  $154,000

                                                          | Purchases on account $283,000

                                                          |

                                                          | Ending balance             $133500

b.                                     Accounts Receivable

Beginning balance   $103,500  | Cash receipts on account  $103,890

Sales on account      $91,390  |

                                                    |

Ending balance         $91,000   |

 

c.                                             Cash

Cash receipts           $104,500  |  Cash disbursements  $105,150

Beginning balance   $20,250 |

                                                   |

Ending balance         $19,600  |

8 0
3 years ago
You go out to eat with your family, and you agree to leave the p. what is a 15% p on a $60.00 bill?
Aleks04 [339]
$9.00 tip of 15% left
8 0
3 years ago
Other questions:
  • The Herman Company uses a joint process to produce products W, X, Y and Z. Each product may be sold at its split-off point or pr
    7·1 answer
  • If the management of an entity is close to breaching a debt covenant that requires maintaining a certain current ratio, manageme
    9·1 answer
  • A 30-year 7% corporate bond was issued exactly 10 years ago. You purchased this bond today, when it was trading to yield 9%. Tom
    7·2 answers
  • Darian has decided to attend an out-of-state public four-year university. His expected expenses are shown in the table. Category
    8·2 answers
  • Morgan Industries is comparing and contrasting its ending inventory value in terms of the three common inventory costing methods
    6·1 answer
  • Organizations with __________ possess a broadly and deeply shared value system that can provide a strong corporate identity
    6·1 answer
  • a bacteria population starts with 200 bacteriaa and grows at a rate of r(t) = (450.268)e 1.12567t bacteria per hour. How many ba
    6·1 answer
  • A sales training workshop devoted to communicating the importance of obtaining marketing information from customers would be aim
    5·1 answer
  • Alice loves all animals and is starting a new grooming business for dogs. She believes that animals are very important and plans
    12·1 answer
  • The Garden Company began the accounting period with a $46,000 credit balance in its Accounts Payable account. During the account
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!