Answer:
First option will be recommended.
Explanation:
To determine which option to be taken, we calculate the net present value each option generates. The option generating higher NPV should be recommended.
- Net present value of first option = Lump sum receipt = $150,000.
- Net present value of second option will be found by discounting cash flows at investing rate 12% and calculated as followed:
+ Present value of 20 equal annual payment of $14,000 + Present value of $60,000 paid in 20 years = (14,000/12%) x [ 1 - 1.12^(-20)] + 60,000/1.12^20 = $110,792.
As net present value of the first option is higher than the second option, first option will be recommended.
Answer: C. The decline in the P/E ratio more than offset earnings growth and this pushed the market cap down.
Explanation:
Market Cap = P/E ratio * Earnings
Market cap is dependent on both the P/E ratio and Earnings as shown by the formula and as shown on the graph, the P/E ratio kept on decreasing which means that for the Market Cap to decrease, the downward pull of the P/E ratio must have overshadowed the growth in earnings such that the Market Cap went down instead of up.
For instance, if the earnings were $40 billion and the P/E ratio was 15, Market Cap would be $600 billion.
If earnings increased to $45 billion but P/E ratio decreased to 10, Market Cap would become $450 billion.
Answer:
b. they can be used to produce a variety of products without the need for expensive retooling.
The best way to show your municipal government employees the benefits of health care is through an informational poster in the office and an email to each.
In most companies, there is a human resources department that is responsible for hiring employees and their well-being.
In this case, it is a benefit in the health service to which employees can enroll independently, but they do not know-how.
The best option to disseminate this information is through an informational poster that specifies the steps to register and locate it in the office because their employees will be able to see it when they go to work.
Likewise, a copy of the poster will be sent to their emails, and they can sign up for this benefit in their free time.
Learn more: brainly.com/question/15720119
Answer:
having to make a down payment..
