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kakasveta [241]
3 years ago
8

Internal Rate of Return Lisun Company produces a variety of gardening tools and aids. The company is examining the possibility o

f investing in a new production system that will reduce the costs of the current system. The new system will require a cash investment of $4,607,200 and will produce net cash savings of $800,000 per year. The system has a projected life of 9 years.
Required:

Calculate the IRR for the new production system.
Business
1 answer:
eimsori [14]3 years ago
6 0

Answer:

Internal Rate of Return (IRR) = 10%

Explanation:

The computation of IRR for the new production system is shown below:-

PV factor for Internal Rate of Return = Investment cost ÷ Annual net cash savings

PV factor for Internal Rate of Return = $4,607,200 ÷ $800,000

= 5.759

The PV factor 5.759 in Present value of a Annuity of $1 table for 9 years is closest to 10%

Internal Rate of Return (IRR) = 10%

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Which of the following is a false completion of the following: "Congress has the authority to declare war..."
Yakvenalex [24]

Answer: E. and exercise this authority with great frequency

Explanation:

The Congress has the authority to declare war but has not been exercising this authority with great frequency most times they are reluctant to declare war and has only declared eleven wars in the history of America.

They have rarely exercise this power one of the reasons being to cut down funding of war, they preferred to authorize presidential military action without a declaration of war.

8 0
3 years ago
Suppose Clampett, Inc. terminated its S election on August 28, 2018. At the end of the S corporation's short tax year ending on
charle [14.2K]

Answer:

correct option is $5,750

Explanation:

given data

amounts were both zero

suspended loss = $20,750

additional capital contributions = $5,750

to find out

How much loss may J. D. deduct in 2019

solution

loss may J. D. deduct in 2019 is $5,750

we know that post transmination period end of 15 September

it is extended here due date of final tax return

it is standardize so that J.D. only deduct loss to extend of his contribution on march

so 2nd contribution make on 15 September

so correct option is $5,750

6 0
3 years ago
The first of two major components of developing a marketing strategy is to _______. a. select a target market b. determine a seg
Brrunno [24]

Answer:The first of two major components of developing a marketing strategy is to<u> select a target market.</u>

<u>Explanation:</u> After determining business products and services the business needs to identify the target market. Identifying the target market is the major step in developing a marketing strategy.

Steps to select a target market

  1. Target market is actually those customers whom we want to sell our products.Concentrating on target market will make it easier to sell our products.
  2. Customers can be targeted on the basis of age,gender,income,occupation,educational level.
  3. Look at the competition that exist .Identify those areas that have been overlooked by our competitors.
  4. If business is already existing than identify those products and services which are bought by current customers and the benefits that they are getting from it.
  5. Finally target those customers who actually need your products and services.

5 0
3 years ago
All of the following are true about ERP EXCEPT: Select one: a. ERP is an acronym for enterprise resource planning. b. ERP is pri
Sloan [31]

Answer: b. ERP is primarily used by manufacturing organizations and does not serve service organizations well.

Explanation:

Enterprise Resource Planning(ERP) is very useful to companies as it supports many enterprise processes by integrating resources of the company such as manufacturing, finance and supply chain management with the view to make operations more efficient.

It is false that it does not serve Service organizations well because ERP takes into account the unique resources that an organization has so it does not matter if it is a service or a manufacturing organization. It serves both.

8 0
3 years ago
Alpha associates was organized on january 1, year 1. Alpha was organized as a corporation. Alpha reported $200,000 of before tax
liq [111]

Explanation:

GIVEN DATA:

Alpha reported =  $200,000

withdrew = $30,000

corporate income tax rate = 30%

personal income tax rate = 15%

SOLUTION:

we get here total amount of tax collect as

total amount of tax collect = Alpha reported amount × personal income tax rate  ...............1

put here value

total amount of tax collect = $200,000 × 15%

total amount of tax collect = $30,000

here no corporate  tax required  and partner is taxed on share of total partnership income regardless of amount withdrawn

so the correct answer is $30,000

3 0
2 years ago
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