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frosja888 [35]
3 years ago
11

The annual annuity stream of payments that has the same present value as a project's costs is referred to as which one of the fo

llowing?
a. equivalent annual cost.
b. erosion cost.
c. opportunity costs.
d. yearly incremental costs.
e. sunk costs.
Business
1 answer:
drek231 [11]3 years ago
6 0

Answer:

a. equivalent annual cost.

Explanation:

In the case when the annuity payment stream on annually basis contains the similar present value as compared with the initial investment of the project so this we called as equivalent annual cost

It is term as equivalent to devlop a cash flow in a cash flows stream via project life

Therefore the option a is correct

And, the rest of the options are incorrect

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Distinguish between private and public company???​
Mashutka [201]

Answer:

-Private company has mininmum 1 and maximum 101 member.

Public company has minimum 7 member and maximum is bounded by its share capital.

-Private company is smaller than the public companies by the no.of capital.

Public company is larger than private company and spread in different place.

-Private company uses the term Private limited after its name.

Public company uses the term Limited after its name.

-Examples of Private company are: Asmita Book Publication Pvt.ltd and Karunanidhi Education Foundation Pvt.ltd

Examples of Public company are:Nepal oil corporation and Nepal electricity Authority.

5 0
2 years ago
Read 2 more answers
1. A company issues new stock with a fair value of $120,000 to acquire 85% of the stock of another company. The fair value of th
Delicious77 [7]

Answer:

A. $10,500

Explanation:

FV of IDNA:  

Book value                                                     $ 15,000

Revalued plant assets                                    ($25,000)

license agreements                                           $30,000

Intangible assets                                             $50,000

                                                                           $ 70,000

Non-controlling interest valued at the date of acquisition, following the alternative method allowed by IFRS = 15% * 70,000 =  $10,500.

4 0
3 years ago
You want to write a press release about a free new app you're offering. The app allows people to keep track of what they've eate
statuscvo [17]

The principle of reciprocity is being used when emphasizing the free nature of the useful tool in the press release, as this principle generates a reciprocal response to individuals.

<h3 /><h3>What is the principle of reciprocity?</h3>

It corresponds to an approach developed by Cialdini, who states that reciprocity is the first principle of persuasion, as individuals are conditioned to reciprocate favors and concessions to others.

Therefore, by using the principle of reciprocity, emphasizing the free nature of the new app, the company hopes to generate more attention, use and positive response from the target audience as a form of retribution.

Find out more about persuasion here:

brainly.com/question/4692301

6 0
2 years ago
Treasury bills are paying a 4% rate of return. A risk-averse investor with a risk aversion of A = 3 should invest entirely in a
Tomtit [17]

Answer:

Answer is 12.64%. Therefore,

Treasury bills are paying a 4% rate of return. A risk-averse investor with a risk aversion of A = 3 should invest entirely in a risky portfolio with a standard deviation of 24% only if the risky portfolio's expected return is at least 12.64%.

Refer below for the explanation.

Explanation:

E - 4%= 0.5(3)(24%)2

E=12.64%

7 0
3 years ago
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When an accelerated depreciation method is used to calculate depreciation expense: Multiple Choice the accumulated depreciation
erastovalidia [21]

Answer:

the net book value of the asset halfway through its useful life will be less than if straight-line depreciation is used.

Explanation:

Let me use an example to illustrate this.

An asset has a useful life of 4 years. It costs $1000. It has a salvage value of 0

If the straight line depreciation method is used , the depreciation expense every year = $1000/ 4 = $250

The net book value halfway through its useful life = $1000 - ($250 x 2) = $500

If double declining method is used, the depreciation expense in the first year would be = 2/4 x $1000 = $500

The net book value at the beginning of year 2 = $1000 - $500 = $500

Depreciation expense in year 2 = 2/4 x $500 = $250

The net book value at the beginning of year 3 = $500 - $250 = $250

We can see that the net book value halfway through the useful is lower when double declining depreciation method is used

4 0
3 years ago
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