$29,150 is the correct answer
$26,550 + $1500 + $400 + $700 = $29,150
Answer:
False
Explanation:
Net present value is the present value of after-tax cash flows from an investment less the amount invested.
If projects been examined have different initial investments, it doesn't affect comparison between the projects.
Only projects with positive NPV should be chosen and if both projects have a positive NPV, the project with the higher NPV should be chosen
It is only when they have different life spans that comparison might be affected.
Answer:
$145,000
Explanation:
Data provided in the question:
Adjusted basis of the barn = $125,000
Amount paid by the insurance company = $150,000
Amount reinvested in another barn = $170,000
Now,
Basis of the new barn
= Adjusted Basis of old barn + Additional amount spend on new barn in excess of amount paid by insurance company
= $125,000 + [ $170,000 - $150,000 ]
= $125,000 + $20,000
= $145,000
<span>This is an example of a situational interview. A situational interview is a structured interview in which the interviewer describes a situation likely to arise on the job, then asks the candidate what he or she would do in that situation.</span>
Answer:
Money available to the buyer is most important factor which needs to be considered. Also the quality of the old tires is considered before making a decision to replace tires. The life of tire is dependent on the running of the car plus the quality of the roads.
Explanation:
The tire are replaced once they are damaged. The damage can be through accident, roughness of roads, extra mileage and other similar factors. Once the tire is damaged it is better to replace it by the new one as this can be harmful for the commuters to travel in a car whose tires are damaged. There can be puncture or even tire burst situation which could be a threat to life.
