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mariarad [96]
3 years ago
5

A firm is considering two projects. Project Peso requires an initial investment of $100,000. The Internal Rate of Return for Pro

ject Peso is 10.6%. Project Quasi requires an initial investment of $90,000. The Internal Rate of Return for Project Quasi is 12.6%. The WACC is 9%. The two projects are independent. What decision should the firm make
Business
1 answer:
Fofino [41]3 years ago
6 0

Answer:

to accept both the projects i.e. Project Peso and Project Quasi

Explanation:

As we can see in the given case, that the weighted average cost of capital on the projects is 9% while on the other hand, Perso and Quasi both have the internal rate of return 10.6% and 12.6% i.e. above 9% so based on this, the decision that should firm make is to accept both the projects i.e. Project Peso and Project Quasi

The same would be relevant

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If a research topic is amendable to a scientific study, you are able to make appropriate and necessary changes to a topic to make sure the resaerch you are finding follows the topic and is giving you useful information. When you amend a research topic you are just adjusting it to fit your updated wants and needs.

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Trevor's boss told him that he would now also be responsible for answering the phones and filing correspondence in addition to t
konstantin123 [22]

The responsibility for answering the phones and filing correspondence in addition to the tasks is an example of extension.

<h3>What is an extension?</h3>
  • An extension refers to doing an even wider range of tasks in addition to the tasks assigned.
  • Task switching is a sort of multitasking that involves switching between several abilities, tasks, or cognitive sets.
  • Multitasking is the practice of dividing one's attention among several skills, tasks, or cognitive sets.
  • The process of working as an extension involves interspersing and overlapping the execution of various programs. This is frequently accomplished by taking advantage of the discrepancy between a computer's quick processing power and its slower input/output devices.
  • If necessary, put off other chores so that one may focus entirely on the important ones when working as an extension.
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2 years ago
How long does negative information stay on your credit report
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Downs Tax Planning Service bought communications equipment for $9,600 on January 1, 2017. It has an estimated useful life of fiv
MaRussiya [10]

Answer:

$960

Explanation:

For computing the accumulated depreciation, first we have to compute the depreciation expense which is shown below:

= (Original cost - residual value) ÷ (useful life)

= ($9,600 - $0) ÷ (5 years)

= ($9,600) ÷ (5 years)  

= $1,920

This is a full year depreciation but we have to find out for June 30,2017 i.e 6 months

= $1,920 ÷ 12 months × 6 months

= $960

The same is recorded as an accumulated depreciation

3 0
3 years ago
Select the correct answer. who makes decisions regarding changes in the discount rate? a. the president b. the board of governor
Taya2010 [7]

The correct answer is option B.

The board of governors make decisions regarding changes in the discount rate.

<h3><u>What is board of governors?</u></h3>
  • The Federal Reserve System is governed by the Board of Governors, which is based in Washington, D.C.
  • It is governed by seven individuals, known as "governors," who are appointed by the American president and approved in their roles by the American senate.
  • In order to advance the objectives and carry out the duties assigned to the Federal Reserve by the Federal Reserve Act, the Board of Governors directs how the Federal Reserve System is run.
  • The FOMC, the section of the Federal Reserve that determines monetary policy, includes all of the Board members.
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When the Reserve Banks lend to depository institutions and others, as well as when they offer financial services to depository institutions and the federal government, the Board also offers general oversight, direction, and counseling.

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