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Nady [450]
3 years ago
9

The Internal Rate of Return (IRR) represents which of the following: Multiple Choice The discount rate that must be lower than t

he required rate of return. The discount rate that makes the net present value equal to zero. The discount rate that makes the net present value positive. The discount rate that makes the net present value negative. The discount rate that is affected by the cash flows external to the project.
Business
1 answer:
zmey [24]3 years ago
8 0

Answer:

The discount rate that makes the net present value equal to zero.

Explanation:

The internal rate of return is the discount rate that equates the after tax cash flows from an investment to the amount invested.

It is the discount rate that makes the net present value equal to zero.

I hope my answer helps you

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Contrary to popular opinion, CEOs of major U.S. companies come from a wide variety of private universities and state universitie
defon

Answer: Power is earned

Explanation:

The fact that so many influential CEOs come from such a wide array of universities shows that they had to work to get to where they are today and were not simply handed positions because of the university they came from.

It shows that if one wants to succeed in business, their alma mater does not matter. They could be from an Ivy league college or from a state college in Mississippi, what matters is their determination to work hard and gain a good track record that will take them all the way to the top.

3 0
3 years ago
Holmes Company produces a product that can either be sold as is or processed further. Holmes has already spent $50,000 to produc
Xelga [282]

Answer:

It is more profitable to continue processing.

Explanation:

Giving the following information:

The number of units= 1,250

It can be sold now for $67,500 to another manufacturer.

Alternatively, Holmes can process the units further at an incremental cost of $250 per unit. If Holmes processes further, the units can be sold for $375 each.

<u>The $50,000 is a sunk cost, meaning that it has already happened. It shouldn't be taken into account.</u>

Sell as it is:

Income= $67,500

Continue production:

Income= 1,250*(375 - 250)= $156,250

It is more profitable to continue processing.

6 0
3 years ago
Beyer Company is considering the purchase of an asset for $215,000. It is expected to produce the following net cash flows. The
wlad13 [49]

Answer:

a) Net Present Value = $ 304,495.12  

b) Beyer should accept the investment.

Explanation:

The net present value NPV) of a project is the present value of cash inflow less the present value of cash outflow of the project.

NPV = PV of cash inflow - PV of cash outflow

Year                                                     PV

1        77,000 × 1.12^(-1)       =  68,750.00  

2        54,000 × 1.12^(-2)    =  43,048.47  

3        82,000 ×  1.12^(-3)  =   58,365.98  

4      172,000 ×   1.12^(-4) =  109,309.11  

5       423,000 ×  1.12^(-5)=  <u>240,021.56  </u>

Total Present Value             519,495.12  

Initial cost                             <u>(215,000)</u>

Net Present Value                 <u>304,495.12 </u>

Net Present Value = $ 304,495.12  

b) Decision :

Beyer should accept the investment. This will increase the wealth of the shareholders by $ 304,495.12

8 0
3 years ago
When a business is more successful than its rivals at attracting customers and handling competition, it is said to have a(n) ___
densk [106]

Answer:

d. Marketing

Explanation:

Marketing advantage is the edge a company has at attracting customers by having superior products, lower prices, innovative distribution, and effective promotion.

When businesses improve their marketing process it results in a strong brand, more loyalty, and resultant competitive advantage in the market.

4 0
3 years ago
Which of the following is not a disadvantage to cash advances on a credit card? a. Cash advances are similar to loans in that th
Dominik [7]
<span>The statement that is not a disadvantage to cash advances on a credit card is that (A) </span>Cash advances are similar to loans in that they need to be paid back with interest. When you ask for a cash advance, it <span>is a service provided by most </span>credit card<span> and charge </span>card<span> issuers. This will become a credit limit.</span>
7 0
3 years ago
Read 2 more answers
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