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Arte-miy333 [17]
3 years ago
5

A negative net present value means that the___________

Business
1 answer:
Temka [501]3 years ago
6 0

Answer:

D : project's rate of return is less than the required rate of return.

Explanation:

Net present value (NPV) is a projects evaluation technique that analyzes the present values of predicted future revenues and expenses. In other words, NPV is the current value of future inflows minus costs.  In calculating the NPV, future values are discounted with an appropriate discount rate to give the present value.

The NPV can be a positive, zero or negative. Projects with positive  NPV are preferred because they are considered profitable.  A negative NPV signals that the present value of the expected inflows is lower than the current value of the projected cost at the required discount rate. If the discount rate is maintained, the project is a loss-making venture.

The use of a very high discount rate may give any projects a negative NPV.

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Describe the McDonald's activities in terms of Frederick Taylor's principles of scientific management, Max Weber's hierarchical
Margarita [4]

Explanation:

Using Frederick Taylor's principles of scientific management McDonald's entire staff activities would be planned, coordinated, and controlled under continuous direction of a supervisor or expert.

The line of authority using the Max Weber's hierarchical structure for McDonald's activities would be marked by;

  1. Specialization of labor: placing the skilled person on the job.
  2. A formal set of rules and regulations,
  3. A well-defined hierarchy within the organization,
  4. Impersonality in the application of rules: by treating all employees equally.
  5. Employment-based on Technical Qualifications: McDonald employs only the qualified to do the job.

Henri Fayol's administrative principles should result in;

  • Division of work in McDonald,
  • Delegation of authority and responsibility,
  • Discipline of wanting employees,
  • Unity of Command,
  • Unity of Direction,
  • Subordination of individual interest to general interest,
  • <em>Good remuneration of McDonald's staff.</em>
6 0
3 years ago
On July 1m 2017, Ling Co. pays $12,400 to Marsh Insurance Co., for a 2-year insurance contract. Both companies have fiscal years
Ronch [10]

Answer:

Journal entries

Explanation:

The journal entries are as follows

On July 1

Prepaid insurance Dr $12,400

     To Cash $12,400

(Being the payment is recorded)

On December 31

Insurance expense Dr $3,100

    To Prepaid insurance $3,100

(Being the insurance expense is recorded)

It is computed below:

= $12,400 × 6 months ÷ 24 months

= $3,100

6 0
4 years ago
Themarketpriceofasecurityis$50.Itsexpectedrateofreturnis14%.Therisk-freerateis6%, and the market risk premium is 8.5%. What will
mezya [45]

Answer:

$31.82

Explanation:

market price $50

expected rate of return /Re) = 14%

Div = $50 x 14% = $7

risk free rate (Rf) = 6%

market premium (Rm - Rf) = 8.5%

beta = ?

14% = 6% + (beta x 8.5%)

beta x 8.5% = 14% - 6% = 8%

beta = 8% / 8.5 = 0.941

if beta doubles to 1.882, then Re will be:

Re = 6% + (1.882 x 8.5%) = 22%

new market price of the stocks = $7 / 22% = $31.818 = $31.82

5 0
4 years ago
James Jones, a Florida health inspector, inspected, Caribbean Eats a restaurant owned by Tom Cruise. Jones found several health
Leto [7]
IRAC stands for Issue, Rule, Application, Conclusion

I'll just put out issues.

James Jones - corruption, extortion, and blackmail

Tom Cruise - health violations, bribery

Both conducted under the table negotiations. 
7 0
3 years ago
What journal entry is recorded as a result of issuing stock to investors for cash?
Liula [17]
I believe this would result to a debit to cash and a credit to common stock. This is because the transaction would result to an increase in cash (asset) and a decrease in stock (asset). A journal is a record used in accounting in which transactions are initially recorded in order of when they were undertaken.
3 0
4 years ago
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