1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Alla [95]
3 years ago
12

Item 7 Joetz Corporation has gathered the following data on a proposed investment project (Ignore income taxes.): Investment req

uired in equipment $ 30,000 Annual cash inflows $ 6,000 Salvage value of equipment $ 0 Life of the investment 15 years Required rate of return 10 % The company uses straight-line depreciation on all equipment. Assume cash flows occur uniformly throughout a year except for the initial investment. The payback period for the investment is:
Business
1 answer:
Brut [27]3 years ago
6 0

Answer:

5 years

Explanation:

Payback calculates the amount of time it takes to recover the amount invested in a project from it cumulative cash flows

Payback period = Amount invested / cash flow

30,000 / 6,000 = 5 YEARS

You might be interested in
The discount rate is the: multiple choice 1 interest rate at which banks can borrow reserves from other banks. lowest interest r
Reil [10]

Answer:

a. The discount rate is the

  • interest rate at which banks can borrow reserves from the Federal Reserve.

The discount rate is the interest rate that the FED charges commercial banks, credit unions, or other financial institutions for lending them money.

b. If the Fed were to decrease the discount rate, banks will borrow

  • more reserves, causing an increase in lending and the money supply.

Lowering the discount rate is considered part of an expansionary monetary policy since banks will borrow more money and lend more money to the public, increasing the money supply.

7 0
3 years ago
Read 2 more answers
What is purpose of public relations?
Elza [17]

Answer:

Explanation:

The aim of public relations by a company often is to persuade the public, investors, partners, employees, and other stakeholders to maintain a certain point of view about it, its leadership, products, or of political decisions.

5 0
2 years ago
Read 2 more answers
A record of the increases and decreases in a specific asset, liability, equity, revenue, or expense is a(n)________.
ozzi

Answer:

d. account This answer is correct

Explanation:

There are various types of accounts that are reported in the financial statements. The financial statement comprises of the income statement, balance sheet, statement of stockholder equity and the cash flow statement.

The recording of the increase in the specific asset, liability, revenue, expense, etc is called as an account

Just in net income, the revenue and expense account is reported. The asset, liability, stockholder equity which is reported in the balance sheet. The change in the values of the item is reported in the respective amount

7 0
3 years ago
On July 1, 2020, Ayayai Co. pays $15,420 to Pina Insurance Co. for a 3-year insurance policy. Both companies have fiscal years e
rodikova [14]

Answer:

July 1, 2020

Dr. Prepaid Insurance $15,420

Cr. Cash __________ $15,420

December 31, 2020

Dr. Insurance Expense_$2,570

Cr. Prepaid Insurance _$2,570

Explanation:

Prepaid Expense is the payment of an expense made before it accrued ( means advance payment of an expense ).

As Ayayai Co. paid the 3 years insurance in advance. It is the form of prepaid insurance. Prepaid insurance will be charged to the insurance expense account with the passage of time.

On July 1

The cash is paid so, the cash account will be credited because it is an asset account that has a debit nature. To reduce its balance we need to credit it.

On the other hand, cash is made against the advance payment of insurance for three years, prepaid insurance account will be debited because it is an asset account that needed to be debited to record this.

December 31

The Insurance expense for 6 months is accrued and it needs an adjusting entry to record the expense.

To record Insurance expense, the insurance expense account is debited and on the other hand to reduce the balance of prepaid insurance by the accrued expense value prepaid insurance account is credited.

Insurance expense = $15,420 x 6 / ( 12 x 3 ) = $2,570

3 0
2 years ago
Which response core capability involves ensuring the capacity for timely communications in support of security, situational awar
xeze [42]

<span>On-scene security, Protection, and Law Enforcement</span>

On-scene security, Protection, and Law Enforcement entails conducting appropriate measures to ensure the protection of the health and safety of the public and workers, as well as the environment, from all hazards in support of the responder operations and the affected community

7 0
2 years ago
Read 2 more answers
Other questions:
  • Organizations that are formed to offer services to clients and not make a profit are ____, whereas, ________ are those organizat
    10·1 answer
  • Sarah transferred $450.00 from her savings account to her checking account. She’ll use the check register to record her transact
    11·2 answers
  • At December​ 31, 2018​, Wave Corporation has cash of $ 50 ​million, accounts receivable of $ 19 ​million, and​ long-term assets
    5·2 answers
  • Bobcat Industrial Supply is considering a new project with estimated depreciation of $46,000, fixed costs of $39,000, and total
    7·1 answer
  • In June 1985, Joseph Marcantuone and Robert Gieson purchased property located in East Orange, New Jersey. At the time of purchas
    15·1 answer
  • Accountants rely heavily on using Excel to perform a wide range of activities to record transactions and report their results. I
    5·1 answer
  • The driver of any vehicle about to enter a freeway or highway must yield the __________ to all traffic.
    6·1 answer
  • A manager of a company is facing an ethical problem. He uses the formal process for ethical decision making to resolve the probl
    6·1 answer
  • Parul has just taken over her family's business after spending ten years in the marketing department of a large corporation. She
    6·1 answer
  • Manufacturers sometimes use misleading terms on grain products. Which is the first ingredient term on a label to be a significan
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!