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Vaselesa [24]
3 years ago
8

small income-producing property is priced at $600,000 and is expected to generate the following after-tax cash flows: Year 1: $4

2,000; Year 2: $44,000; Year 3: $45,000; Year 4: $50,000; and Year 5: $650,000. Would an investor with a required after-tax rate of return of 15 percent be wise to invest at the current price
Business
1 answer:
Lyrx [107]3 years ago
4 0

Answer:

$-148,867.17

Explanation:

Present value of inflows=cash inflow*Present value of discounting factor(rate%,time period)

=42000/1.15+44000/1.15^2+45000/1.15^3+50000/1.15^4+650,000/1.15^5

=$451132.83

NPV=Present value of inflows-Present value of outflows

=$451132.83-$600,000

=($148867.17)(Approx)(Negative figure)

Hence since NPV is negative;investment must not be made.

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Under the UCC a sales or lease contract will not fail for indefiniteness even if there are open terms if the parties intended to
Gelneren [198K]

Answer:

The correct answer is True.

Explanation:

At the end of a common agreement, there is no consequence for any of the parties, since it is their will to end the contract that they previously agreed to sign

Termination of the lease by the lessor.

The lessor may unilaterally terminate the lease under the conditions established by law, paying any compensation that may arise.

The law expressly establishes when and why the lease can be terminated by the lessor, and only in those cases can the contract be terminated without there being room for the payment of a penal clause or non-compliance, if any, since in those cases the law in particular established how and why to terminate the contract, and set the penalties to which there is room.

4 0
3 years ago
Read 2 more answers
If the marginal product of labor is increasing, the marginal cost of output must be
SVETLANKA909090 [29]
Your answer would be, If the Marginal Product of labor increases/rises, The Marginal Cost of Output FALLS.



If the Marginal Product of labor Falls, The Marginal Cost of Output RISES.



Hope that helps!!!
4 0
3 years ago
The management of Kabanuck Corporation is considering dropping product V41B. Data from the company's accounting system appear be
Makovka662 [10]

Answer:

$191,500

Explanation:

If the item is not dropped:

Loss = Sales - Variable expenses - Fixed manufacturing expenses - Fixed selling and administrative expenses

       = $923,000 - $405,500 - $337,000 - $244,000

       = (63,500) loss

Fixed mfg. expenses remaining:

= Fixed manufacturing expenses - Avoidable Fixed manufacturing expenses

= $337,000 - $207,500

= $129,500

Fixed selling and administrative expenses remaining:

= Fixed selling and administrative expenses - Avoidable Fixed selling and administrative expenses

= $244,000 - $118,500

= $125,500

Loss in expenses remaining if item is dropped :

= Fixed mfg. expenses remaining + Fixed selling and administrative expenses remaining

= $129,500 + $125,500

= ($255,000)

Overall net operating income would decrease by:

= Loss in expenses remaining if item is dropped - Loss in expenses if item is not dropped

= $255,000 - $63,500

= $191,500

5 0
3 years ago
Sarah offers to pay allison $150 if allison will paint her apartment while she is out of town on vacation for two weeks. allison
serg [7]
The best answer for the question of which is best described above is letter a. unilateral contract. It is because it is a legal promise between the parties which is Allison and Sarah. The unilateral contract has the ability to pay one party if the other party is able to do his or her task or perform a certain duty that the other party ask or told.
5 0
3 years ago
During an exit interview, a manager discovers that the reason an employee is resigning is because of unlawful harassment from a
natka813 [3]

Answer:

See explanation below for answer.

Explanation:

The manager should embark on an investigation, in order to get to the bottom of the matter. The accusation must be treated seriously in order to make sure that the root cause of the problem is established, this will be done with the details of the harassment that the employee provides.

Also, the witnesses that the employee has mentioned must be questioned in order to establish the facts of the issue. The matter must be treated with the utmost urgency, in order to stop the issue from repeating itself, because this will affect the productivity of the affected employees if left unchecked.

7 0
3 years ago
Read 2 more answers
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