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Lyrx [107]
3 years ago
11

The impact of inflation in businesses​

Business
1 answer:
levacccp [35]3 years ago
4 0

Answer:

Rapidly rising prices not only affect the price consumers pay, they also affect the cost businesses have to pay for materials and inventory. When replacement inventory costs more than the inventory you just sold, it can lead to inventory shortages.

Explanation:

I hope it helped

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A company is considering two capital investments. Each requires an initial investment of $15,000 and has a 4 year useful life. I
yaroslaw [1]

Answer:

3 years

Explanation:

The computation of the payback period is shown below:

Payback period = Initial investment ÷ Net cash flow

where,  

Initial investment is $15,000

And, the net cash flow would be

= Year 1 + year 2 + year 3 + year 4

= $5,000 + $5,000 + $5,000 + $5,000

= $20,000

As we see that the net cash flow is recovered in three years that means net cash flows and the initial investment are equal

So,

Payback period would be

= $15,000 ÷ $15,000

= 3 years

7 0
3 years ago
What is a flag drop in cab fees?
Rudik [331]
This is what a customer pays if he or she travels less than a block (for example) and charges mind and decide to get off can. Then after at every additional mile travelled the $2.80 per mile applies.
4 0
3 years ago
The follow passage describes how a catalytic converter in a car works. The catalytic converter mostly likely was developed in re
Mashcka [7]

Answer:

Its A

Explanation:

Its A

5 0
2 years ago
Q 10.25: Admire County Bank agrees to lend Givens Brick Company $600,000 on January 1st. Givens Brick Company signs a $600,000,
Shtirlitz [24]

Answer:

Entry is given below

Explanation:

As Givens brick company is paying off the liability of note payable and the interest amount therefore, it will be debited as it is a decrease in liability. Cash will be credited as it is our asset and its decreasing.

Entry                      DEBIT          CREDIT

Notes payable     $600,000

Interest                 $36,000(w)

Cash                                           $636,000

Working

Interest = $600,000 x 8% x9/12

Interest = $36,000

7 0
3 years ago
Compare the yield to maturity and the current yield. How do you explain this​ relationship?  ​(Select the best​ response.)A.If a
mamaluj [8]

Answer:

A - If a bond sells at a​ discount, the yield to maturity is greater than the current yield

Explanation:

Yield to maturity is the expected return if the bond is held till maturity. Current yiled is the return if the bond is sold today. There is an evident relationship between yield to maturity (TYM) and the current yield.  

“When a bond's market price is above par, which is known as a premium bond, its current yield and YTM are lower than its coupon rate. Conversely, when a bond sells for less than par, which is known as a discount bond, its current yield and YTM are higher than the coupon rate. Only on occasions when a bond sells for its exact par value are all three rates identical” (Bloomenthal, 2020).

According to the above statements, options C, B and D are eliminated. This leaves option A (If a bond sells at a discount, the yield to maturity is greater than the current yield) as the correct answer. This is true because YTM is calculated on purchase price rather than par value, if the purchase price is less than par value, the YTM will be greater than the current yield.  

7 0
3 years ago
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