A work group norms can be defined as a standard shared by the group's members and which regulates the behavior of the members within an organization.
<h3 /><h3>What is the relevance of a company's norms and policies?</h3>
They are instruments that direct the behavior of employees, providing the set of values, attitudes and rules that must be followed in the work environment so that processes flow correctly and create an organizational culture favorable to cooperation and development.
Therefore, norms help in the standardization of organizational actions, generating the regulation and control of the behavior of the members of a company.
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Answer
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Explanation
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True, I believe so if not then correct me.
Answer:
Machine B has a higher NPV therefore should be produced
Explanation:
The machine with the higher Net Present Value (NPV) should be produced .
NPV of Machine A
PV of cash flow
PV of annual profit = A × (1- (1+r)^*(-n)/r
A- 92,000, n- 11, r- 12%
PV = 92,000 × (1- (1.12^(-11)/0.12 = 546268.32
PV of salvage value = 13,000× 1.12^(-11)= 3737.189
NPV = 546268.320 + 3737.189 -250,000 = $300,005.50
NPV of Machine B
A- 103,00, n- 19, r- 12%
PV = 103,000 × (1- (1.12^(-19)/0.12= 758675.0165
Pv of salvage value = 26000× 1.12^(-19)= 3018.776199
NPV =758675.0165 + 3018.77 -460,000 = $301,693.79
Machine B has a higher NPV , therefore should be produced.