1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
avanturin [10]
3 years ago
8

McCann Co. has identified an investment project with the following cash flows.

Business
1 answer:
larisa [96]3 years ago
5 0

Answer:

McCann Co.

Present value

a. At 9$ =      $2,017.38

b. At 16% =   $3,379.42

c. At 25% =   $2,798.71

Explanation:

a) Data and Calculations:

Year Cash Flow         Discount         Present

                               Factor at 9%       Value

1         $840                0.917               $770.28

2         1,170               0.842                   143.14

3        1,430               0.772                1,103.96

4        1,575               0.708                 1,115.10

Total Present value =                     $2,017.38

Year Cash Flow         Discount         Present

                               Factor at 16%       Value

1         $840               0.862               $724.08

2         1,170               0.743                  869.31

3        1,430               0.641                  916.63

4        1,575              0.552                 869.40

Total Present value =                    $3,379.42

Year Cash Flow         Discount         Present

                               Factor at 25%      Value

1         $840               0.800               $672.00

2         1,170               0.640                 748.80

3        1,430               0.512                  732.16

4        1,575               0.410                 645.75

Total Present value =                    $2,798.71

You might be interested in
Cash Flows. Quick Computing currently sells 10 million computer chips each year at a price of $20 per chip. It is about to intro
Tema [17]

Answer:

Since net revenue has increased from $140 million to $246 million = $106 million by considering all costs thus all the costs and revenue shall be considered.

Explanation:

For calculating the present value, all the cost and revenue will be considered.

Original revenue = Sale of 10 million chips

10 million \times $20 = $200 million

Less: Cost = 10 million \times $6 = $60 million

Net Revenue = $140 million

In case of introducing new chips

Revenue will be as follows

12 million \times $25 + 3 million \times $20

= $300 million + $60 million = $360 million

Less: Costs 12 million \times $8 + 3 million \times $6

= $96 million + $18 million = $114 million

Net Revenue = $360 - 114 = $246 million

Since net revenue has increased from $140 million to $246 million = $106 million by considering all costs thus all the costs and revenue shall be considered.

3 0
3 years ago
2. From 4 E's to addressing corporate strategy, provide four examples from each of the 4E's of known big companies adopting thes
Solnce55 [7]

Explanation:

any one use inst agrambbhuhbbbbbbbh

4 0
3 years ago
As the information technology advances and consumers buy products requiring more and more technology, the wages of people with h
Katyanochek1 [597]

Answer:

b. increase as the demand for high tech skills increases.

Explanation:

Due to the fact that the demand for technological products is increasing, the demand for people who possess high tech skills would also increase as firms would want to provide more tech products to satisfy the demand of consumers.

This would lead to an increase the demand for people with high tech skills. When demand exceeds supply, wages would rise.

I hope my answer helps you

6 0
3 years ago
Gibson Valves produces cast bronze valves on an assembly line, currently producing 1560 valves per shift. If the production is i
dmitriy555 [2]

Answer:

the increased in the labor productivity is 23.08%

Explanation:

The computation of the increased in the labor productivity is given below;

= (Increase in production - current production) ÷ current production

= (1,920 valves - 1,560 valves) ÷ 1,560 valves

=  23.08%

hence, the increased in the labor productivity is 23.08%

Therefore the same should be considered

6 0
3 years ago
Jim is using the rational decision-making process to decide a course of action for the marketing department. While selecting a p
Dimas [21]

The given type of question is an example of Planning for contingencies .

Option C

<u>Explanation: </u>

A contingency plan is an action plan that will allow an organisation to quickly respond to a major event or circumstance that may or may not happen in the future. Sometimes a discretionary strategy is called' Plan B,' because it can also be used as a substitute for implementation if the goals are not accomplished.

In many instances, governmental or corporate contingency plans are made. Suppose, for example, that many company employees fly together on a crashing aircraft that kills them all on board. This failure could severely stress or even kill the business.

6 0
3 years ago
Other questions:
  • Each pound of American blend coffee requires 12 ounces of Colombian beans and 4 ounces of Dominican beans, while a pound of Brit
    6·1 answer
  • A ________ refers to a line of credit that is guaranteed by the bank
    10·1 answer
  • 1. The planned effort to present a unique image through newspapers, community events, and other visible
    11·2 answers
  • Suppose smith wants one ipod no matter what the price is between $0 and $150, jones wants one ipod no matter what the price is b
    10·1 answer
  • Greer went to her favorite manicure shop but the quality of her manicure was not as well done as previous times. What characteri
    5·1 answer
  • Stock in Daenerys Industries has a beta of 1.3. The market risk premium is 6 percent, and T-bills are currently yielding 5 perce
    6·1 answer
  • n an​ economy, the​ working-age population is 400 million. Of this​ total, 320.0 million workers are employed. 12.0 million work
    10·1 answer
  • What happens to price when the cost of resources rise or fall?
    13·1 answer
  • A corporation's board of directors are - the sole owners of the corporation. - control the day-to-day activities of the corporat
    5·1 answer
  • 1._____________is the difference between earned income and costs. 2. An organization that produces or distributes a good or serv
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!