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3 years ago

Discounting cash flows involves

Business

1 answer:

Triss [41]3 years ago

6 0

Answer:

The correct answer is letter "D": discounting all expected future cash flows to reflect the time value of money.

Explanation:

Discounting cash flows takes place at any moment given when money is paid at one date but is received at a different point. Discounted cash flows are useful to measure the difference between the present value of money and the receivables that are expected to come at a later stage.

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Krustyburger just paid a dividend of $2 and has a required return of 15%. Which of the following equations represent's today's v

Neko [114]

Answer:

d. $2(1.10)/[0.15-0.10]

Explanation:

The formula to compute the today value of the stock by using the Gordon model is shown below:

= Next year dividend ÷ (Required rate of return - growth rate)

where,

Next year dividend is

= $2 + $2 × 10%

= $2 + 0.2

= $2.2

And, the required rate of return is 15%

Plus the growth rate of return is 10%

So, the today value of the stock is

= $2.2 ÷ (15% - 10%

= $44

8 0

3 years ago

Seasonal unemployment is : A. due to the fact that workers must search for appropriate job offers. B. a result of a poor match o

JulijaS [17]

Answer:

C. a result of the seasonal pattern of work in specific industries

Explanation:

Seasonal Unemployment results out of seasonal demand of labor in those industries where the nature of job is dependent upon weather or business seasons.

For example in case of crops, during the harvest season, there is high demand for labor while during the rest of the year there is no demand at all. So laborers of such industries are employed for a fixed duration in an year and remain unemployed for the rest of the period.

This unemployment is not due to inadequacy of labor skills but results owing to nature of the industry and seasonal pattern of the work required.

8 0

3 years ago

Suppose that the Bethesda Mining Company had sales of $2,166,873 and net income of $108,381 for the year ending December 31, 201

In-s [12.5K]

Answer: attached below

Explanation:

6 0

3 years ago

Wiki Wiki Company has determined that the variable overhead rate is $4.50 per direct labor hour in the Fabrication Department. T

stellarik [79]

Answer:

Monthly factory overhead flexible budget

9000 HRS 10000 HRS 11000 HRS

Variable Overhead 40,500 45,000 49,500

Fixed Overheads 60,000 60,000 60,000

Total Overhead Costs 100,000 105,000 109,500

Explanation:

Fixed Costs do not change with the level of activity and thus remain the same for activity of 9,000 : 10,000 and 11,000 hours whilst variable overheads vary with the level of activity.

5 0

3 years ago

During the current year, Harold Company sold inventory costing $350,000 for a selling price of $675,000. Beginning balances of i

Len [333]

Answer: $351,000

Explanation:

Given that,

Cost of inventory = $350,000

Selling price = $675,000

Beginning balance of inventory = $86,000

Beginning balance of accounts payable = $116,000

ending balance of inventory = $94,000

ending balance of accounts payable = $123,000

Cash paid to suppliers:

= Cost of Goods Sold + Change in inventory - Change in accounts payable

= 350,000 + (94,000-86,000) - (123,000-116,000)

= 350,000 + 8,000 - 7,000

= $351,000

6 0

3 years ago