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vodomira [7]
3 years ago
12

Which of the following is true about present value calculations?

Business
1 answer:
Basile [38]3 years ago
7 0

Answer:

The correct answer is letter "B": Other things remaining equal, the present value of a future cash flow decreases if the investment time period increases.

Explanation:

Present Value informs us how much a future sum of money today is worth, given a defined return rate. This is an important financial concept based on the principle that the money received in the future is not worth as much as today's equivalent amount.

For instance, three years from now, $5,000 received is not worth as much as $5,000 received today. If you are investing the $5,000 now, it will be worth more than the original amount assuming a calculated rate of return in two years. Waiting for two years to invest the money is a two-year loss of interest, making the future money worth less than the $5,000 now.

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Of the following companies, which one would not likely employ the specific identification method for inventory costing?
Schach [20]

Answer:

The correct answer is D

Explanation:

Specific identification method of inventory is the method which helps in finding the ending cost of the inventory. And this method need the detailed physical count, as it helps the company in making or knowing how many goods brought on particular dates which is remained at the end of the year inventory.

Under this method, the companies which could adopt this method, are antique shop, farm implement dealership and music store.

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3 years ago
Sarkis is a sales manager for the bratney companies, a company that manufactures equipment used in the processing of grains and
pentagon [3]
The decision is made under the condition of Uncertainty, Because T<span>he goal is clear, but there is no clear solution to the problem
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2 years ago
Brent has hired an OD consultant to understand why the company's process for paying invoices is so slow. He wants the consultant
Kamila [148]
Mechanic model of consulting
3 0
3 years ago
An agreement between the owner of a brand and another company or individual who pays a royalty for the use of the brand in assoc
levacccp [35]

Answer:

<u>Licensing.</u>

Explanation:

Brand licensing occurs when there is an agreement between companies to use a brand and its characteristics such as name, logo and image, upon payment of royalts for the use.

It is a strategy that occurs on a large scale worldwide due to the ease of use and the added benefits of using a consolidated brand in the market, which already has an established public, and added value, which generates an economic strengthening in companies that use this strategy. as well as increased reliability and profitability.

7 0
3 years ago
If marijuana were legalized, it is likely that there would be an increase in the demand for marijuana. If demand for marijuana i
Mkey [24]

Answer:

C. Higher prices but lower total revenue from marijuana sales.

Explanation:

The above scenario totally explains inelastic demand. Inelastic demand is when the buyer’s demand does not change as much as the price changes. When price increases by 20% and demand decreases by only 1%, demand is said to be inelastic.

When the price increases, people will still purchase roughly the same amount of the good or service as they did prior to the increase because their needs stay the same. A similar situation exists when there is a decrease in price demand will not increase substantially because consumers only have a limited need for the product.

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