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shtirl [24]
2 years ago
6

A capital budgeting project has a net investment of $415,000 and is expected to generate net cash flows of $138,000 annually for

4 years. What is the net present value at a 11% required rate of return?
Business
1 answer:
kirill [66]2 years ago
5 0

Answer:

the net present value is $13,131

Explanation:

The computation of the net present value is shown below

As we know that

Net present value = Annual cash inflows × PVIFA factor for 4 years at 11% - Initial investment

= $138,000 × 3.1024 - $415,000

= $428,131 - $415,000

= $13,131

Hence, the net present value is $13,131

We simply applied the above formula so that the correct value could come

And, the same is to be considered

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Stock holders make money investing in stocks in all of the following ways excep what
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Answer: There are two ways to make money from owning shares of stock: dividends and capital appreciation. Dividends are cash distributions of company profits

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2 years ago
Which one of the following is not an assumption of the EOQ model? Decisions for one item can be made independently of decisions
irga5000 [103]

Answer:

Quantity discounts can be taken advantage of for large lot sizes.

Explanation:

The EOQ model assumptions:

the order of one item does not intervene with the other.

The order will arrive without delay and with a specific amount of goods.

no losses or damage in transit

The EOQ does not consider the discount for large lot size, their formula does not consider the value of the goods:

Q_{opt} = \sqrt{\frac{2DS}{H}}

Its use: Demand of the good

cost of Setup, or ordering cost.

and Holding cost, the cost of keeping the inventory

There is no variable to account for discounts for order size in this method

7 0
3 years ago
The fictional country of Alpetra increases the income tax rate so that tax revenues increase by $50 million. If GDP, consumption
bezimeni [28]

Answer:

There is no change in investment for Apletra.

Explanation:

Because GDP, consumption, and government spending remains the same there would also be no chane in investment for Alpletra.

5 0
3 years ago
Which best describes the types of indicators that the HDI measures?
dolphi86 [110]

Answer:

O social and economic indicators

Explanation:

The Human Development Index (HDI) is a statistic used to measure a country's achievements in different aspects of its social and economic welfare. The united nations developed HDI to evaluate different dimensions of human development in a country. Dimensions of human development refer to people's health, educational level, and standards of living.

The HDI  makes comparisons between countries by analyzing components such as average annual income and educational achievements.

5 0
2 years ago
Read 2 more answers
FOB ______ is the term used when ownership of the goods transfers to a buyer when the goods arrive at the buyer's place of busin
Over [174]

FOB <u>destination</u> is the term used when ownership of the goods transfers to a buyer when the goods arrive at the buyer's place of business.

<h3>What is FOB destination?</h3>

FOB which full meaning is freight on board is a form of goods or product shipment in which the seller is fully incharge or in possession of the goods until the goods reach the buyer destination in which  the ownership of the goods is then transfers to a buyer.

Once the ownership of the goods transfers to a buyer, this means that the buyer is the owner of the goods and is liable for any damage that occur to the goods.

Inconclusion FOB <u>destination</u> is the term used when ownership of the goods transfers to a buyer when the goods arrive at the buyer's place of business.

Learn more about FOB destination here:brainly.com/question/24976258

7 0
1 year ago
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