All categories

2 years ago

A project has an initial cost of $31,800 and a market value of $29,600. What is the difference between these two values called

Business

1 answer:

Kazeer [188]2 years ago

5 0

Answer:

Net present value

Explanation:

Below is the given values:

Net present value is the correct answer.

Initial cost of the project = $31800

Market value of the project = $29600

The difference between these two are = 31800 - 29600 = $2200

Net present value shows that the present value of cash inflows minus cash outflows. Moreover, the present value comes by discounting the cash flows at an applicable discount rate.

You might be interested in

Why is the ability to maintain attention especially important in middle childhood? because ____.

zloy xaker [14]

The ability to maintain attention especially important in middle childhood because that is when children enter school

Reason :

Parents expect their children to be able to acknowledge and achieve simple directions and tasks. That is when children enter school.

What two advances occur during middle childhood?

During middle and late childhood children make strides in various fields of cognitive function like the ability of working memory, their ability to concentration , and their use of memory remembrance . Both changes in the brain and experience foster these abilities.

Cognitive strategies are sets of mental processes that are consciously implemented to monitor thought processes and content in order to achieve goals or resolve problems. Self-regulation theories of behavior regulate on cognitive strategies as playing a crucial role in guiding goal-directed behavior.

Learn more about middle childhood ?

brainly.com/question/14059756

#SPJ4

8 0

1 year ago

Suppose an American buys stock issued by an Argentinian corporation. The Argentinian firm uses the proceeds from the sale to bui

belka [17]

Suppose an American buys stock issued by an Argentinian corporation. The Argentinian firm uses the proceeds from the sale to build a new office complex. This is an example of foreign <u>portfolio</u> investment in Argentina.

The following are the policies that are consistent with the goal of increasing productivity and growth in developing countries:

b. Providing tax breaks and patents for firms that pursue research and development in health and sciences.

c. Protecting property rights and enforce contracts.

<u>Explanation</u>:

A foreign portfolio investment is the investment made by a foreigner in the form of purchase in country’s stock and bond markets or deposit of money in bank.

Foreign portfolio investment is important because it gives high risk-adjustment return to the investors. The investors get the opportunity to engage in international diversification of portfolio assets.

The growth of the developing countries can be increased by enforcing contracts and providing patents for the firms that deal with research and development in health and sciences.

5 0

2 years ago

Mahmoud wants to start a business making designer chairs. To do this he will need:

prisoha [69]

Mahmoud will be needing many things such as. A loan of money , Maybe a wed site to spread him company so more people can see it and materials to build chairs such as wood , springs , foam.

4 0

2 years ago

The following expenditures relating to plant assets were made by Prather Company during the first 2 months of 2020. Opposite eac

hammer [34]

Answer: Please refer to Explanation

Explanation:

1.Paid $5,000 of accrued taxes at time plant site was acquired.

LAND ACCOUNT because it is to be capitalized as it was part of the Acquisition Cost.

2.Paid $200 insurance to cover possible accident loss on new factory machinery while the machinery was in transit.

EQUIPMENT ACCOUNT as it is part of Acquisition Cost.

3.Paid $850 sales taxes on new delivery truck.

EQUIPMENT ACCOUNT as it is again part of Acquisition Cost.

4.Paid $17,500 for parking lots and driveways on new plant site.

LAND IMPROVEMENT ACCOUNT

5.Paid $250 to have company name and advertising slogan painted on new delivery truck.

EQUIPMENT ACCOUNT as it is a cost of setting the PPE up.

6.Paid $8,000 for installation of new factory machinery.

EQUIPMENT ACCOUNT as this expense is again part of setting the equipment up.

7.Paid $900 for one-year accident insurance policy on new delivery truck.

PREPAID INSURANCE because this is a periodic cost and those are not capitalized as they provide only a short term benefit.

8.Paid $75 motor vehicle license fee on the new truck.

LICENSE EXPENSE because it is also a period cost.

6 0

2 years ago

Paulson Company began the year with retained earnings of $500,000. During the year, the company issued $720,000 of common stock,

Murljashka [212]

Answer:

Revenue for the period = $2,100,000

Explanation:

Provided information,

Opening balance of retained earnings = $500,000

Expenses recorded for the period = $2,000,000

Dividends paid during the period = $80,000

Closing balance of retained earnings = $520,000

Therefore increase in retained earnings = $520,000 - $500,000 = $20,000

Earnings for the period - Expenses for the period - Dividend for the period = $20,000

Now, putting values in above,

Earnings - $2,000,000 - $80,000 = $20,000

Earnings = $20,000 + $80,000 + $2,000,000 = $2,100,000

Revenue for the period = $2,100,000

6 0

2 years ago