Answer:
A. $820,036.47
B. No, the firm should not undertake this specific project
C. If the interest rate go higher by 1 percent the risk is that the present cash flow savings limits of the amount of $860,000 set by the management will fall.
Explanation:
a. Calculation to Determine the value of the future cash flow savings expected to be generated by this project.
PRESENT VALUE
2020 = $110,000/(1.07)^1
2020= $102,803.74
2021= $120,000/(1.07)^2
2021=$104,812.65
2022 =$130,000/(1.07)^3
2022=$106,118.72
2023 =$150,000/(1.07)^4
2023=$114,434.28
2024 =$160,000/(1.07)^5
2021=$114,077.79
2025 =$150,000/(1.07)^6
2025=$99,951.33
2026 =$90,000/(1.11)^7
2026=$433,49.26
2027 =$90,000/(1.11)^8
2027=$39,053.38
2028 =$90,000/(1.11)^9
2028=$351,83.23
2029 =$90,000/(1.11)^10
2029=$31,696.60
2030 =$90000/(1.11)^11
2030=$28,555.49
TOTAL VALUE $820,036.47
Therefore the value of the future cash flow savings expected to be generated by this project is $820,036.47 .
b. Based on the criterion that was set by the management, the firm should NOT undertake this specific project reason been that the total amount of the PRESENT VALUE (PV) cash inflow of the amount of $820,036.47 is LESSER than the present cash flow savings of the amount of $860,000 that was set by the management.
c. Based on the information given in a situation were the interest rate go higher by 1 percent the risk is that the present cash flow savings limits of the amount of $860,000 set by the management will fall.
The order is infraction being the least serious, misdemeanor, and then felony.
In such a case Shawn's company cannot and should not give out a dividend.
Since the company has just raised money, is growing and profitable and it is becoming hard to keep up with demand, this is the best time for the company to reinvest its profits to:
1. Hire more people/Buy more product
2. Improve processes
3. Use the profits to invest in R&D
4. Use the profits to invest in marketing and promotion
5. Invest in providing better customer service
So no dividend should be given since it can hamper the growth of a young company. The money should be used to grow the company for now and in the future all shareholders can enjoy good dividends.
Answer:
The correct word for the blank space is: transactional leader.
Explanation:
Transactional leadership is the type of managerial leadership in which the leader motivates the performance of the subordinates through a system of rewards and punishments. It means the leader rewards those employees who perform their duties efficiently and punishes those who do not meet the expectations, provoking in such a way that the employees work the best way possible.
Therefore, <em>if Clarissa provides her subordinates rewards if they do their jobs well, she is likely to be a transactional leader.</em>
Answer:
forced distribution
Explanation:
Based on the rest of the sentence it can be said that the missing term is forced distribution. This is a system that requires managers to evaluate each individual and rank them typically into one of three categories. These categories are excellent, good, and poor and allow managers to indicate if the employee should be terminated, is doing good, or is in-line for promotion as indicated in the graph below. This term is also known as the vitality curve or bell curve.
