Answer:
The net present value of this project is $5,809.78.
Explanation:
Note: See the attached excel file for the calculation of net present value of this project.
In the attached excel file, the discounting factor is calculated as follows:
Discounting factor = 1 / (100% + required rate of return)^n
Where n is a particular year in focus.
From the attached excel file, we have:
Net present value = $5,809.78
Therefore, the net present value of this project is $5,809.78.
TRUE. The type of research method used depends on the nature of the study in question.
Answer:
$632,000
Explanation:
The computation of the amount of balance in the right of use asset after two years is shown below:
Balance in right of use asset after 2 years is
= Recorded value - ((Recorded value × rate of interest) × number of years)
= $790,000 - (($790,000 × 10%) × 2)
= $790,000 - ($79,000 × 2)
= $790,000 - $158,000
= $632,000
hence, the balance is $632,000
Answer:
Investment Opportunity 1 has a few risks.Though it invests in stocks, it makes consistent profits. It lacks volatility because managers carefully select stocks with long-term earning potential. Investment Opportunity 2 risks are related to changing interest rates, which can cause bonds to make less money for bondholders. Also, it may be affected by inflation, and it carries the risk of default: if a city or county government fails to make its bond payments, then the bondholder loses money. Both companies tell you the risks, and they have the same level of it. Investment Opportunity 1 has three documents to illustrate the fund’s risks and returns over the past five years.The first graph lists how a hypothetical investment of $10,000 fared over those five years. The second graph lists an overall earnings percentage for four different earnings periods. The final graphic shows how the company rates the level of risk. Investment Opportunity 2 also provided three documents to illustrate the fund’s risks and returns over the past five years. The first graph lists how a hypothetical investment of $10,000 fared over those five years. The second graph lists an overall earnings percentage for four different earnings periods. The final graphic shows how the company rates the level of risk. Both say the potential returns of each investment, but investment opportunity 1 hypothetical investment of $10,000 fared over those five years is not as steady as investment opportunity 2. Investment Opportunity 2 is the fraudulent one because its percentage of return is better than investment opportunity 1. Both are with large companies that are almost just alike but investment opportunity 2 has a better rates of return. The first one serves thousands of customers and specializes in managing stocks and mutual funds. The second firm serves thousands of customers, and it specializes in managing mutual funds that invest in bonds.
Explanation: Hope this helps this is what I used for <u>Edge 2020</u> ^-^. Also I do not take credit for this answer, but I feel like this is a very well and detailed answer.
