Answer:
65000$ remains available for complete operation losses.
Explanation:
$20,000 of the $25,000 loss is paid by the policy. The $15,000 loss is paid in full. Together these payments reduce the $100,000 aggregate limit to $65,000.
Calculation
100,0000-20,000-15,000 = 65,000 $.
Answer:
The asset turnover is 1.44 and return on assets is 0.37%
Explanation:
Average Total assets
Assets in the beginning $24,590
Assets at the end $23,300
Average assets $23945
Sales $34,450
Divide: Average assets $23945
Assets turnover ratio 1.44
Net Income $89
Divide: Average assets $23945
Return on assets 0.37%
Therefore, The asset turnover is 1.44 and return on assets is 0.37%
Answer:
The correct answer is D. Is the return investors require on the total assets of the firm.
Explanation:
The Weighted Average Capital Cost (WACC) is a financial measure, which has the purpose of encompassing in a single figure expressed in percentage terms, the cost of the different sources of financing that a company will use to fund a specific project.
To calculate the WACC, it is necessary to know the amounts, interest rates and tax effects of each of the selected sources of financing, so it is worth taking the time to analyze different combinations of these sources and take the one that provides the lower figure
.
Comparatively, without going into the detail of the project evaluation, "the WACC must be less than the profitability of the project to be funded" or expressed in another order, "the project performance must be greater than the WACC."
Answer:
(A) 5 and 10.
Explanation:
Factor which can shift the Investment spending:
(5) Profit Expectations
If the firm forecast a good economy will probably invest more than if it forecast a bad economy. businessman will increase and decrease their investment based on expepectations.
(10) Degree of Excess Capacity
Assuming a rational behavior, company's will investment if needed. So if there is a portion of unsued capital they will use it before investing to acquire more. Once the current capital is used or near max capacity they will invest. Below a certain threshold they won't.
