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
topjm [15]
3 years ago
12

Elmer Sporting Goods is getting ready to produce a new line of golf clubs by investing $1.85 million. The investment will result

in additional cash flows of $525,000, $812,500, and 1,200,000 over the next three years. What is the payback period for this project?
Business
1 answer:
Tems11 [23]3 years ago
6 0

Answer:

The payback period for this project is 2.43 years.

Explanation:

Elmer Sporting Goods is getting ready to produce a new line of golf clubs by investing $1.85 million.

The investment will result in additional cash flows of $525,000, $812,500, and 1,200,000 over the next three years.

The payback period is the time it takes to cover the investment to be covered by returns.

The investment cost remaining in the first year

= $1,850,000 - $525,000

= $1,325,000

The investment cost remaining in the second year

= $1,325,000 - $812,500

= $512,500

The third year payback

= \frac{\$ 512,500}{\$ 1,200,000}

= 0.427

The total payback period

= 2.43 years

You might be interested in
There are costs and benefits to either method of solving a Capitalizing Problem.<br> True or False?
Diano4ka-milaya [45]

Answer:

True.

Explanation:

3 0
3 years ago
you own $750000 worth of stock, and you are worried the price may fall by year-end in 6 months. you are considering
timofeeve [1]

Answer: D. I, II, and III

Explanation:

If expecting a price deduction, you can buy Put options. These give you the right to sell an underlying stock at a certain price regardless of what the price in the market is. If you purchased this, you can sell your stock above market value if it does go down.

You can sell write call options for a fee where you give the buyer the right to buy your shares at a certain price in future. This is only valuable if prices rise so as you are expecting prices to fall, you could make a premium on the call option contract fees if prices fall without having to sell off your shares.

Hedging with puts is better than short calls if you are expecting a major stock price decline as the opportunity for profit is higher.

8 0
3 years ago
Companies use ____________ to check that enough work is scheduled for operations and that the amount of work scheduled is feasib
Veseljchak [2.6K]

Answer:

e) capacity requirement planning

Explanation:

Based on the information provided within the question it can be said that the term being mentioned is called capacity requirement planning. Like mentioned, this term refers to the process that a company undergoes in order to calculate how much of something it needs to achieve a goal and whether or not it is feasible. Which can also be used regarding work schedules like in this scenario.

7 0
3 years ago
Food For Less (FFL), a grocery store, is considering offering one hour photo developing in their store. The firm expects that sa
Sunny_sXe [5.5K]

Answer:

a. and. d

Explanation:

gryyrgrghehrhrhrhhrhrhrhhrjr

8 0
2 years ago
Read 2 more answers
Explain and compare between administrative marketing and entrepreneurial marketing
Simora [160]
Business Orientation: While traditional marketing is defined by customer orientation, entrepreneurial marketing is defined by entrepreneurial and innovation orientation. ... Entrepreneurs interact with customers through activities like personal selling and relationship marketing.
Entrepreneurial Marketing: 6 Characteristics of Entrepreneurial Marketing
Proactive Orientation: ADVERTISEMENTS: ...
Innovativeness: ...
Focus on the Customer: ...
Utilizing an Opportunity: ...
Risk Management: ...
Value Creation: A contemporary definition that meets the present scope in which entrepreneurial marketing is defined as: “The proactive identification and exploitation of opportunities for acquiring and retaining profitable customers through innovative approaches to risk management, resource leveraging and value creation.” Traditional marketing has many facets. For instance, it includes tangible items like print ads in magazines or newspapers, business cards. It can also include commercials on radio or TV, posters, brochures and billboards. Anything except digital ways to promote your brand is traditional marketing. The four main sources of entrepreneurial marketing ideas are the new markets for existing products, new products, turning ideas into business opportunities and innovative approaches to existing markets.
3 0
3 years ago
Other questions:
  • Automated Data Processing (ADP) provides computer software and services to a host of companies, including automobile dealerships
    14·1 answer
  • What are three ways computers store information?
    8·2 answers
  • In three to four sentences, explain why prices decrease when the market moves from a monopoly to perfect competition?
    9·2 answers
  • When you are actively listening to someone, which of the following can be most helpful in making sure you understood the message
    15·2 answers
  • You are an industry You are an industry analyst that specializes in an industry where the market inverse demand is P = 200 - 5Q.
    10·1 answer
  • Match the following theories to their best descriptive statements: A. Cost benefit analysis for finding the best possible result
    15·1 answer
  • A lease agreement contains a clause that gives the tenant the right to purchase the property at a specified price. This type of
    12·1 answer
  • An open-end fund has a net asset value of $12.70 per share. It is sold with a front-end load of 8%. What is the offering price?
    7·1 answer
  • The following labor standards have been established for a particular product: Standard labor hours per unit of output 4.3 hours
    9·1 answer
  • A fire and emergency services organization's records management system may be used to?
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!