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Lisa [10]
3 years ago
11

11. HydroGrow is considering building a new greenhouse in which to grow tomatoes. The board meets and decides that this is the r

ight thing to do. Before they can put their plans into action, the interest rate increases. The present value of the future revenue from this investment project a. is now lower than it was before, and so Hydro Grow is less likely to build the building. b. is now lower than it was before, and so HydroGrow is more likely to build the building. c. is now higher than it was before, and so HydroGrow is less likely to build the building. d. is now higher than it was before, and so HydroGrow is more likely to build the building.
Business
1 answer:
pshichka [43]3 years ago
3 0

Answer:

a. is now lower than it was before, and so Hydro Grow is less likely to build the building.

Explanation:

The interest rate increase will reduce the net present value of the project as the lenders of fund will demand more interest and since the Weighted Average Cost of Capital of the project will increase. The increased WACC will cause the project to be more riskier and since the future benefit of the project will be reduced.

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The direct labor efficiency/quantity variance for November of $1,800.

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The Water Sports Company soon will be producing and marketing a new model line of motor boats. The production manager, Michael J
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Answer:

Explanation:

X - number of units sold

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a.  For 4000 units sold

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1 year ago
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almond37 [142]

Answer:

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How does financial manager involes operating decision<br>​
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