Answer:
The Question has been offered as to pick the least of the terms less expensive than lifetime alternative, so it is smarter to continue with the choices given in the Question.
For 14 years:
Year Cash Flow PVF = 7.6% Cash Flow
0 $800 1 $800
1 - 13 $800 8.0807 $6464.56
<u>Total $7264.56
</u>
For 13 years
:
Year Cash Flow PVF = 7.6% Cash Flow
0 $800 1 $800
1 - 12 $800 7.6948 $6155.83
<u>Total $6955.835
</u>
<u>
</u>For 19 years
Year Cash Flow PVF = 7.6% Cash Flow
0 $800 1 $800
1 - 18 $800 9.6377 $7710.16
<u>Total $8510.16
</u>
<u>
</u>
For the long time alternative it is realize that not doable choice to go with 19 years so obviously past 19 years likewise not possible so for a long time not comprehended.
from the over the least is accessible in 13 years so lloyd needs to go for a long time.
Answer: Option A
Explanation: In simple words, WACC refers to the cost of total capital that a company has borrowed form the market in its weighted average form. It includes all sources of debt whether retained earning, equity, debt or preferred stock.
While calculating WACC the analyst takes the market value of the capital sources into consideration, thus, in case of preferred stock the cost of newly issued preferred shares must be taken as they depict the actual cost that the company has to bear.
Answer:
The correct answer is growth strategy.
Explanation:
As the emphasis for the focus of the strategy is given on an increase in the profits, revenues, market share or the number of places. All of these parameters are linked with the growth of the company. Thus this leads to a growth strategy. This is also evident from the definition of the growth strategy which is stated as the strategy to increase the market share of a company.
Answer: C
Explanation:
Wealth is the gradual gathering of profits, assets or income over a period of time. It is the gradual increase in ones assets over a sustained period.
Wealth creating transactions can be found both in contract enforcement and private property rights. The prosperity and economic development of a country can be attributed to the respect accorded to its citizens property rights.
Property rights gives room for entrepreneurship which can eventually lead to wealth accumulation. Contract enforcement also generate wealth for individuals.
