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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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Kraus Steel Company has two departments, Casting and Rolling. In the Rolling Department, ingots from the Casting Department are
ludmilkaskok [199]

Answer:

The units started and completed is 59,900 tons

Explanation:

The computation of the number of tons started and completed during October is shown below:

Units Completed = Beginning Work in Process Units Completed + Units started and Completed

74,900 units = 15,000 tons + Units started and Completed

So, the units started and completed is

= 74,900 tons - 15,000 tons

= 59,900 tons

Hence, the units started and completed is 59,900 tons

4 0
3 years ago
Some companies want to get their products into as many outlets as possible, understanding that the more exposure a product gets,
azamat

Answer:

Mass Distribution

Explanation:

Mass distribution strategy is one of three approaches to distribution in marketing. It is engaged where an organisation seeks to sell its goods to as many customers as possible. Intermediaries with very wide market base are usually the targets for such organisations.

7 0
3 years ago
Read 2 more answers
Inez is applying to renew her loan originator license. She has completed the application, provided proof that she has satisfied
Lunna [17]

Answer: She must continue to meet the minimum standards for license issuance.

Explanation:

Since Inez has completed the application, and also provided proof that she has satisfied the continuing education requirement, as well as paying for the renewal fee when she's applying to renew her loan originator license, it's also vital that she must continue to meet the minimum standards for license issuance.

The standards for license insurance should be met if not, she may not be able to renew her loan originator license. It should be hired that the provision of proof of continuing employment and a proof that she has no pending disciplinary issues from the previous licensing period isn't required in this case.

6 0
3 years ago
Economists who advocate the Keynesian theory of economics would say that prices and wages are sticky and decreases in AD will de
sashaice [31]

Answer:

flexible and increases in AD will increase unemployment.

Explanation:

Keynesian economics can be regarded as macroeconomic theory that base on effects of total spending in the economy as well as its effects on inflation, output and employment. With regards to this theory, Keynes serve as advocate that speak that about increased government expenditures as well as lower taxes in order to stimulate demand as well as saving the global economy from depression.

It should be noted that Economists who advocate the Keynesian theory of economics would say that flexible and increases in AD will increase unemployment.

7 0
3 years ago
George owns Luxury Yacht Company and has just received an order for one of its luxury models. To protect his company against the
Mariulka [41]

Answer: Letter of credit

Explanation:

 The letter of credit is one of the type of payment process that is specifically used for the purpose of international trading as it helps in proving the economical guarantee from the bank to the trader of various type of goods and the services.

 The letter of credit is also refers as the documentary based credit and also the guarantee undertaking letter which is used at the time of payment and the main advantage of the letter of credit is that it is highly customizable, safety business process, Payment assured and also free from all the types of credit risk.        

According to the given scenario, George asked the customer for providing the letter of credit for the purpose of protect his company fro the various types of payment and economical issue.  

  Therefore, Letter of credit is the correct answer.

3 0
4 years ago
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