The payback period is the length of time it takes an investment to generate sufficient cash flows to enable the project to produce a positive annual cash flow.
What is the payback period for the cash flows?
The time frame needed for a project's financial inflows to more than equal its initial cash outlay is known as the payback period. This formula is helpful for risk reduction analysis since a project that produces a return quickly is less hazardous than one that produces the same return over a longer time frame.
Does positive cash flow mean profit?
Even though a corporation reports negative net income, it is still feasible for it to have positive cash flow. A corporation is financially sound and successful if its net income is positive. A corporation's increase in liquid assets indicates a positive cash flow if the company has positive cash flow.
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The smaller the reserve requirement, the larger the decrease will be in required reserves.
<h3>What is the reserve requirement?</h3>
The reserve requirement is the percentage of consumer's deposits that are kept as reserves with the Central Bank. The reserve requirement is determined by the reserve ratio.
When the Fed sells treasury bonds, money supply decreases. This is known as a contractionary monetary policy.
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Answer:
B - The potential for the preferences and needs of niche members to shift over time toward mainstream provider product attributes.
Explanation:
In the long term, such focused goods and services might be provided by every supplier, hence the Company (focused on one product) might earn less profits and lose its competitive advantage as more players have entered the competition to produce and sell similar products.
Since there is no option, it could be :
- you get an ability to compensate your weakness
- You can spot your competition weakness
- You gain self confidence
- You are cut out to solve a wide variety of problems