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
VikaD [51]
3 years ago
13

You are considering two independent projects. Project A has an initial cost of $125,000 and cash inflows of $46,000, $79,000, an

d $51,000 for Years 1 to 3, respectively. Project B costs $135,000 with expected cash inflows for Years 1 to 3 of $50,000, $30,000, and $100,000, respectively. The required return for both projects is 16 percent. Based on IRR, you should: Select one: accept both projects. accept Project A and reject Project B. accept Project B and reject Project A. reject both projects. accept either one of the projects, but not both.

Business
1 answer:
vitfil [10]3 years ago
8 0

Answer:

Accept Project A and reject Project B

Explanation:

See the images to get the answer.

Decision: Required rate of return = 16% = Cost of capital.

If Internal rate of return (IRR) > the cost of capital = Accept the project.

If Internal rate of return (IRR) < the cost of capital = Reject the project.

From the basis of the formula, we can accept the project A because the IRR of Project A (19%) is higher than the cost of capital (16%). On the other hand, we can reject the project B because the IRR of Project B (14%) is smaller than the cost of capital (14%).

You might be interested in
According to Peter G. Keen, a former MIT professor, which is a benefit of a decision support system (DSS)
Travka [436]

According to Peter G. Keen, a benefit of a decision support system is that it helps in making better decisions.

A decision support system simply means a computerized program that is used for supporting judgments in an organization. It's used for decision-making.

According to Peter G. Keen, a decision support system is also vital as it helps in increasing communication and saves costs. It also aids new insights and learning.

Read related link on:

brainly.com/question/25592766

8 0
2 years ago
Marko, Inc., is considering the purchase of ABC Co. Marko believes that ABC Co. can generate cash flows of $6,100, $11,100, and
Tomtit [17]

Answer:

Total PV= $25,072.57

Explanation:

Giving the following information:

Cash flows:

Cf1= $6,100

Cf2= $11,100

Cf3= $17,300

Discount rate= 15%

<u>To calculate the present value, we need to use the following formula on each cash flow:</u>

PV= Cf / (1+i)^n

PV1= 6,100 / 1.15= 5,304.35

PV2= 11,100 / 1.15^2= 8,393.19

PV3= 17,300 / 1.15^3= 11,375.03

Total PV= $25,072.57

4 0
2 years ago
An adult is swinging a small child by the arms, and the child screams and grabs his left arm. It is determined in the emergency
borishaifa [10]

Answer:

According to the information in the given question, type of dislocation that occur in the head is referred as subluxation.

Explanation:

According to the information in the given question, type of dislocation that occur in the head is referred as subluxation.

subluxation is type of dislocation that can occur either in joint or in any organ of the body. It is generally diagnose by analyzing the x- ray and it is not fixed for any part and it can occur in any part of the body.

If serious Subluxation occur than surgery may can happened especially when dislocation occur in back.

5 0
3 years ago
Who will receive the vaccines if the university health center sells them for the $20.00 market price?
Vesna [10]

The students who will receive the vaccines if the University Health Center sells them for $20.00 are the students who will pay for them at that price.

<h3>Who will receive the vaccines?</h3>

The University Health Center has set a price of $20.00 for the vaccines which means that if a person wants a vaccine, they need to pay $20.

The people who will receive the vaccines therefore, are those students who are willing to pay for the vaccines at the price of $20.00.

Full question is:

University Health Center receives 500 flu vaccinations at the beginning of each flu season. Suppose they offer these vaccines for $20.00 each. Assume that college students have varying budgets, some have some money to spare, some are on a very tight budget. Some students have pre‑existing conditions, such as asthma and diabetes, that place them at high risk for the flu.

Who will receive the vaccines if the University Health Center sells them for this price?

  • the students who will pay for them at that price
  • the students who most need them the students with asthma and diabetes
  • the students who most want them

Find out more on market pricing at brainly.com/question/12960067.

#SPJ1

8 0
1 year ago
Do It! Review 11-3a Incorrect answer. Your answer is incorrect. Try again. Riverbed Corp has 3,300 shares of 7%, $103 par value
harina [27]

Answer and Explanation:

1. The preferred stock is non-cumulative, and in previous years, the company has not skipped any dividends.

Dividend paid to preferred shareholders = Shares × Par value preferred stock × Shares percentage

= 3300 × $103 × 7%

= $23,793

Dividend paid to common shareholders = Cash dividend - Dividend paid to preferred shareholders

= $123,500 - $23,793

= $99,707

2. The preferred stock is non-cumulative, and in both of the two previous years, the company did not pay a dividend.

Dividend paid to preferred shareholders = Shares × Par value preferred stock × Shares percentage

= 3300 × $103 × 7%

= $23,793

Dividend paid to common shareholders = Cash dividend - Dividend paid to preferred shareholders

= $123,500 - $23,793

= $99,707

3. The preferred stock is cumulative, and in both of the two previous years the company did not pay a dividend.

Dividend paid to preferred shareholders =  Shares × Par value preferred stock × Shares percentage × Number of years

= 3,300 × $103 × 7% × 3

= $71,379

Dividend paid to common shareholders = Cash dividend - Dividend paid to preferred shareholders

= $123,500 - $71,379

= $52,121

5 0
3 years ago
Other questions:
  • When defining its market segments, the xyz company identifies groups based on characteristics such as age, gender, income, and e
    9·1 answer
  • July Company currently outsources a relay switch that is a component in one of its products. The switches cost $20 each. The com
    13·1 answer
  • Merc Enterprise is an independent distributor that distributes coffee machines and water purifiers to firms on a large scale. In
    11·1 answer
  • The journal entry to record the issuance of a stock dividend is which of the following?
    8·1 answer
  • The producer of a downloadable antivirus software program spends exactly ​$2 comma 650 comma 000 producing the first copy and in
    7·1 answer
  • A translation adjustment (or translation gain) that is a consequence of translation of a functional currency that is different f
    7·1 answer
  • The information listed below refers to the employees of Lemonica Company for the year ended December 31, 2016. The wages are sep
    15·1 answer
  • Question 26
    10·1 answer
  • Can yall plz follow me tik demon alchemist
    8·1 answer
  • Planning, implementing, and controlling the physical flow of a product from its point of origin to its point of consumption is c
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!