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steposvetlana [31]
3 years ago
9

An investment of $115 generates after-tax cash flows of $50 in Year 1, $90 in Year 2, and $150 in Year 3. The required rate of r

eturn is 20 percent. The net present value is closest to $92.32. $75.97. $37.27. $92.35.
Business
1 answer:
WINSTONCH [101]3 years ago
6 0

Answer:

The  correct answer is B.

Explanation:

Giving the following information:

An investment of $115 generates after-tax cash flows of $50 in Year 1, $90 in Year 2, and $150 in Year 3.

Rate of return= 20%

To calculate the present value, we need the following formula:

NPV= -Io + ∑[Cf/(1+i)^n]

Cf= cash flow

Io= 115

Cf1= 50/ 1.20= $41.67

Cf2= 90/1.2^2= $62.5

Cf3= 150/1.2^3= $86.81

NPV= -115 + (41.67 + 62.5 + 86.81)

NPV= $75.98

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The marginal product of an input is the addition to total output due to the addition of the last unit of an input, holding all o
Harman [31]

Answer:

is the addition to total output due to the addition of the last unit of an input, holding all other inputs constant.

Explanation:

The marginal product of an input is the change in total output as a result of the change in output by 1 unit

For example, the table below is the total product of labour

amount of labour output

1                                 10

2                                20

3                                40

the marginal product of the 3rd worker = (40 - 20) / (3 - 2) = 20

marginal product of the second worker = (20 - 10) / (2 -1 ) = 10

Average output = total output / labour

6 0
3 years ago
Amy is a current shareholder of DJ Industries. She has been given the right to purchase an additional 25 shares of DJ Industries
jasenka [17]

Answer:

stock warrant

Explanation:

Amy was given a stock warrant which gives her the right to purchase a specific number of stocks (25 stocks) at a specific price ($32) during a specific time period (12 months). Stock warrants are issued directly by the corporation to the stockholders. Stock warrants are also tradable, so Amy can choose to sell them to another investor.

7 0
3 years ago
Which of the following statements is NOT true of a department in the merchandise classification scheme? it is the second level i
Eva8 [605]
The first one is true I think
7 0
3 years ago
What is the term for the aesthetic that emerged with technological innovations and through mass media and entertainment, avoidin
Schach [20]

Group of answer choices.

a. Avant-Garde

b. Zeitgeist

c. Modern

d. Post-Modern

Answer:

c. Modern.

Explanation:

A product can be defined as any physical object or material that typically satisfy and meets the demands, needs or wants of customers. Some examples of a product are mobile phones, television, microphone, microwave oven, bread, pencil, freezer, beverages, soft drinks etc.

According to the economist Philip Kotler in his book titled "Marketing management" he stated that, there are five (5) levels of a product. This includes;

1. Core benefit.

2. Generic product.

3. Expected product.

4. Augmented product.

5. Potential product.

The core benefit of a product can be defined as the basic (fundamental) wants or needs that is being satisfied, met and taken care of when a customer purchase a product.

Innovation typically involves the creation of a new product of any category such as automobile, building, phones, electronics, etc., that generates money for the innovators or manufacturers through purchase made by the end users (consumers).

Modern is the term used to describe an aesthetic (artistic goods or products) that emerged with technological innovations and through mass media and entertainment, avoiding any reference to past fashion, instead focusing on sleekness, banishment of frills, functional details, and performance and technical fabrics.

This ultimately implies that, the product isn't obsolete in nature but designed and developed to meet new tastes.

4 0
3 years ago
Hendry Products charges Montgomery Meats a lower price for goods because the owners of both companies are on the same soccer tea
Eduardwww [97]

Answer:

a. price discrimination.

Explanation:

Price discrimination is pricing strategy where different prices are charged to different customers for the same product or service based on what the seller thinks he can get from each of them.

There are 3 types of price discrimination:

-First degree: is price discrimination where firm charges different price for every unit sold. Also called perfect discrimination.

-Second degree: is discrimination where the firm charges different prices for different quantities.

-Third degree: is when the seller charges different price for different consumer groups.

Hendry Products charges Montgomery Meats a lower price, and charges other firms similar to Montgomery Meats more for the same products. Hendry Products is practicing third degree price discrimination.

4 0
3 years ago
Read 2 more answers
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