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
patriot [66]
3 years ago
12

Douglass Interiors is considering two mutually exclusive projects and have determined that the crossover rate for these projects

is 11.7 percent. Project A has an internal rate of return (IRR) of 15.3 percent and Project B has an IRR of 16.5 percent. Given this information, which one of the following statements is correct?I. Project A should be accepted as its IRR is closer to the crossover point than is Project B's IRR.II. Project B should be accepted as it has the higher IRR.III. Both projects should be accepted as both of the project's IRRs exceed the crossover rate.IV. Neither project should be accepted since both of the project's IRRs exceed the crossover rate.V. You cannot determine which project should be accepted given the information provided.
Business
1 answer:
vampirchik [111]3 years ago
7 0

Answer:

V) You cannot determine which project should be accepted given the information provided.

Explanation:

The best way to determine which project to accept or reject is the net present value (NPV) and we do not have enough information to calculate it. Both projects have positive internal rates of return (IRR), but does any of them have a positive NPV? We cannot tell, so it is not possible to choose one or the other.

You might be interested in
Bradley currently has a Visa card from his bank with the following terms: 21 percent on purchases, 25 percent on cash advances w
kakasveta [241]

Complete question:

Bradley currently has a Visa card from his bank with the following terms: 21 percent on purchases, 25 percent on cash advances with a 3 percent cash advance fee on the amount, and a default or penalty rate of 33 percent. His current statement shows a balance of $9,000. Lately, he has been having a hard time paying more than the minimum payment of 3 percent of his balance.

What is Bradley's minimum payment?

A) $158

B) $189

C) $270

D) $1,890

Answer:

Bradley's minimum payment is (C) $270.

<h3>What is the percentage?</h3>
  • A percentage is a fraction of a whole expressed as a number between 0 and 100.
  • Nothing is zero percent, everything is 100 percent, half of everything is fifty percent, and nothing is zero percent.
  • To calculate a percentage, divide the share of the total by the total and multiply by 100.
<h3>Solution -</h3>

Given - 21 percent on purchases, 25 percent on cash advances with a 3 percent cash advance fee on the amount, and a default or penalty rate of 33 percent. His current statement shows a balance of $9,000. Her minimum payment is 3 percent of the balance.

So, to find the minimum payment find 3% of $9000.

3% of $9,000 = $270.

Therefore, Bradley's minimum payment is (C) $270.

Know more about percentages here:

brainly.com/question/24304697

#SPJ4

8 0
2 years ago
A depositor places $10,000 in cash in a commercial bank, where the required reserve ratio is 10 percent. The bank sends the $10,
garik1379 [7]

Answer:

C) $10,000, $1,000, and $9,000, respectively.

  • actual reserves increase by $10,000
  • required reserves increase by $1,000
  • excess reserves increase by $9,000

Explanation:

the money deposited by the client = $10,000

bank's reserve ratio is 10% = $10,000 x 10% = $1,000

since the bank kept the whole $10,000 as reserves, then:

  • actual reserves increase by $10,000
  • required reserves increase by $1,000
  • excess reserves increase by $9,000

The bank is only required to keep $1,000 in reserves, this means it can borrow the remaining $9,000 whenever they want.

7 0
3 years ago
What job did drivers perform on large southern plantations?
Elan Coil [88]
The occupation did drivers perform on vast southern ranches since they managed the work of slaves. On the off chance that slaves did not take after requests, they likewise rebuffed the slaves.

I hope the answer will help you. 
4 0
3 years ago
In capitalism what does competition do for consumers?
Aleks [24]

D. It keeps prices fair for consumers

3 0
3 years ago
Read 2 more answers
Which statement best describes payday leaders and pawnbrokers?
miv72 [106K]
C: They charge extremely high interest rates.
6 0
3 years ago
Read 2 more answers
Other questions:
  • 1. Gerald and Moira Johnson, are married taxpayers with two children, Michael and Oliver. Oliver lives with the Ryans and Michae
    9·1 answer
  • Outsourcing is:
    6·1 answer
  • Automatic stabilizers allow the government budget to ?
    8·1 answer
  • a decline in discpsable incomeAssume a machine that has a useful life of only one year costs $2,000. Assume also that net of suc
    14·1 answer
  • Everfi answers module 7 answers if you cause a car accident, which type of insurance will require you to pay the least out of po
    7·2 answers
  • At the beginning of 2023, the Mackinac Company purchased a machine for $510,000 (salvage value of $60,000) that had a useful lif
    5·1 answer
  • If a purchase is a new buy for a manufacturer, the seller should be prepared to act as a consultant to the buyer, expect a long
    5·1 answer
  • Torrid Romance Publishers has total receivables of $3,000, which represents 20 days’ sales. Total assets are $75,000. The firm’s
    10·1 answer
  • Umatilla Bank and Trust is considering giving Flint Corporation a loan. Before doing so, it decides that further discussions wit
    9·1 answer
  • Assume a purely competitive increasing-cost industry is initially in long-run equilibrium and that an increase in consumer deman
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!