Answer:
c
Explanation:
Internal rate of return is the discount rate that equates the after tax cash flows from an investment to the amount invested
IRR can be calculated using a financial calculator
Cash flow in year 0 = $-450,000
Cash flow each year from year 1 to 4 = $95,000
Cash flow in year 5 = $95,000 + $60,000 = $155,000
IRR = 5.62%
Idaho would reject the project because the IRR is less than the hurdle rate
To find the IRR using a financial calculator:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
2. After inputting all the cash flows, press the IRR button and then press the compute button.
Answer:
b) The economy is actually harmed as there is a sharp decease in consumer spending.
Explanation:
As a result of the news of a recession people will react by planning for a future that may be bleek financially.
Savings will increase, the greater the fear of recession the more people will save to cushion the impact of recession. There is the possibility of job slow down in economic activities and resultant job losses so extra cash that would have normally been spent will be saved for the rainy day
Answer:
14.34%
Explanation:
To find the percentage of returned surveys over the total we divide and then multiply:
(717/5000)*100= 14.34%
The response rate appears to be low because it is less than 50% (which would be 2500 return surveys). Some statistical studies agree that 30 is the minimum number of observations a study must have, but this number does not ensure statistically significant results.
The problem with a very low response rate is that survey´s answers does not significant represent the study population characteristics and so we cannot make inferences, correlations or regressions that are statistically significant. In this case, the conclusions that scientists make about association between the left-handed population and right-handed population with the use of cell phone calls could be wrong or not represent the population characteristics, which means answers are not trustful.
Answer:
a. The division of activities into unit level, batch level, product sustaining level and facility level categories is commonly known as cost.
Explanation:
The managerial accounting is important for any service business. McDonalds have service business and they run on zero tolerance for disruption in consumer service. Management accounting enables to identify cost for product sustaining and batch producing.