Answer:
The project to accept is:
e. E
Explanation:
a) Data and Calculations:
Cost of capital = 10%
Mutually Exclusive Projects:
A B C E
Payback (years) 1 5 2 5
IRR 18% 20% 20% 12%
NPV (Millions) $40 $75 $35 $100
b) Project E should be preferred over all the other projects. It has the highest net present value (NPV) and its internal rate of return (IRR) is above the company's cost of capital. It surpasses projects A, B, and C in financial performance terms using time-value of money analysis.
Answer:
The correct option is Debit Cash $1,864,097; debit Discount on Bonds Payable $135,903; credit Bonds Payable $2,000,000.
Explanation:
This question is an instance of bonds issued at a discount. This happens when a bond is issued below the face value of the bond and also happens when the coupon rate on the bond payable is less than the market rate.
The face value of the bond payable is $2,000,000 while the market value is $1,864,097, so there is a discount of $2,000,000 - $1,864,097 = $135,903 on the bond payable, which is to be amortized over the life of the bond payable.
So, the appropriate journals to record this transaction is as provided above.
Answer:
E : the market is very small and limited
Explanation:
The statement that the market is very small and limited is not a difference between business markets and consumer markets as the real difference is :
Business market larger in size :
If we talk from a Marketing Perspective point of view it Innovates through technological push and fanatics-breakthroughs which result in a rapid increase in the number of customers in the market and as the size of the market becomes larger.
Since Margo purchase her optimal consumption bundle, the
marginal utility per dollar consumed on dance lessons must be equivalent to the
marginal utility per dollar paid on dance shoes. The marginal utility per
dollar spent on dance lessons is 100 utils per lesson, where $50 per lesson is equivalent
to 2 utils per dollar. The marginal utility per dollar expended on dance shoes
therefore has to equal 2 utils per dollar. Since the marginal utility of a pair
of dance shoes cost 300 utils per pair, the value of a pair of shoes should be
$150 per pair, so that 300 utils per pair/$150 per pair is equal to: 2 utils
per dollar.
Arjun.............................................
