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vlada-n [284]
3 years ago
8

FGH Company has two investment opportunities. Both investments cost $6,600 and will provide the same total future cash inflows.

The cash receipt schedule for each investment is given below: Investment I Investment II Period 1 $ 1,800 $ 1,800 Period 2 1,800 2,960 Period 3 2,800 4,120 Period 4 5,280 2,800 Total $ 11,680 $ 11,680 What is the net present value of Investment II assuming an 12% minimum rate of return?
Business
1 answer:
Mila [183]3 years ago
3 0

Answer:

$2,078.82

Explanation:

The net present value is the cost of an investment substracted from the value of the after tax cash flows.

The NPV can be calculated using a financial calculator.

Cash flow for year 0 = -$6,600

Cash flow for year 1=$1,800

Cash flow for year 2=$2,960

Cash flow for year 3=$4,120

Cash flow for year 4=$2800

I = 12%

NPV =$2,078.82

I hope my answer helps you

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The systems viewpoint sees organizations as entities made up of four interrelated parts known as Group of answer choices inputs,
Reil [10]

Answer:

inputs, outputs, transformation processes, and feedback.

Explanation:

The viewpoint of the system that could see the organziation as the entities as they should be made of the input as the raw material, output as the finished product, transformation process as when the raw material is converted into the finished product and the feedback as the client feedback related to the product and service

So as per the given situation the above should be the answer

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3 years ago
Bailey stood in line for hours and purchased the new game system the day it became available for $600. Knowing that there was a
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Um don’t know sorry,isn’t this I-ready?
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Dorsey Corporation Company budgeted 600 pounds of direct materials costing $28.00 per pound to make 7,000 units of product. The
Rus_ich [418]

Answer:

Direct material quantity variance= $840 unfavorable

Explanation:

Giving the following information:

Dorsey Corporation Company budgeted 600 pounds of direct materials costing $28.00 per pound to make 7,000 units of product.

The company used 630 pounds of direct materials to make the 7,000 units.

To calculate the direct material quantity variance, we need to use the following formula:

Direct material quantity variance= (standard quantity - actual quantity)*standard price

Direct material quantity variance= (600 - 630)*28

Direct material quantity variance= $840 unfavorable

3 0
3 years ago
Loans requiring periodic payments of interest and principle are referred to as
nikitadnepr [17]
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5 0
2 years ago
A corporate bond with a 6% coupon (paid semiannually) has a yield to maturity of 7.5%. The bond matures in 20 years but is calla
Zina [86]

Answer:

Yield to Call = 8.66%

Explanation:

The computation of the yield to call is shown below:

First determine Current Price of Bond,

PV = [FV = 1,000, PMT = 30, N = 40, I = 0.075 ÷2]

PV = $845.87

Callable Price = $1,050

Now

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I = 8.66%

Yield to Call = 8.66%

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3 years ago
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