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Dafna1 [17]
3 years ago
7

A machine costs $5240 and produces benefits of $1000 at the end of each year for 8 years. Assume an annual interest rate of 10%.

What is the payback period (in years)
Business
1 answer:
BartSMP [9]3 years ago
4 0

Answer:

5.24 years

Explanation:

the payback period = $5,240 / $1,000 = 5.24 years

The payback period is the amount of time it takes a project to generate enough cash to cover the initial investment required to carry it out.

You can also calculate the discounted payback period which first calculates the present value of each cash flow:

  • PV of cash flow 1 = $909.09
  • PV of cash flow 2 = $826.45
  • PV of cash flow 3 = $751.31
  • PV of cash flow 4 = $683.01
  • PV of cash flow 5 = $620.92
  • PV of cash flow 6 = $564.47
  • PV of cash flow 7 = $513.16
  • PV of cash flow 8 = $466.51

in this case, the discounted payback period = 7.8 years

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Answer:

The correct answer is letter "E": Entrepreneurs.

Explanation:

Entrepreneurs are individuals with special sights for investments. They tend to look for new ways of doing typical activities and by innovation set a business plan for a potential good or service to be offered to the public or a specific market. They find ways to use factors of productions to achieve the venture's goal.

6 0
3 years ago
The degree of compatibility between the firm's existing procedures and personnel skills and the requirements of the new system i
Vesna [10]

The answer is operational feasibility. This is a measurement as it is the one responsible for measuring how the problems are being solved by a proposed system that is made and in the same time, during scope definition—the opportunities are being taken advantage of as it is identified.

4 0
3 years ago
Fat's meats is in an oligopoly market. according to the kinked demand curve model, if it raises its prices to increase profit, i
MakcuM [25]
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If you look at the kinked demand curve, deviating from the market price will lead to losses for the firm. Increasing the price will lead to a loss in sales as price rigidity is a characteristic of an oligopolistic market, whereas if the firm lowers prices, this will invoke a price war and everyone will end up fighting for lower prices and customers.
3 0
3 years ago
The johnsons are in an auto accident with a driver who lives near them in the same town. no one is injured and the johnsons' car
jek_recluse [69]

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6 0
3 years ago
After the World Cup soccer games, Puma, the German sporting goods manufacturer, increased its end-of-year sales target by $641 m
Leokris [45]

Answer:

tactical

Explanation:

"Planning" is a very important process in order for a business to know how it is going to allocate and manage its resources to achieve its goals in a more <em>organized way. </em>

Among the planning options mentioned, Puma uses "tactical plans" in order to achieve its goal. Such type of plan is focused on a specific goal. In the case of Puma, it is focused on achieving $641 million in its<u> sales target.</u>

Tactical plans also include "when" or the time in which goals are going to be achieved. Most of the time, goals are set from less than a year to one year. In Puma's case, it's goal is <u>by the end of the year. </u>

Tactical plans also state the<em> strategies</em> that the company will use in order to achieve its goal. In order for Puma to increase its sales, it will be<em> introducing new products, sell soccer equipment and combine different subsidiaries.</em> These strategies will help Puma accomplish its mission.

So, this explains the answer.

7 0
3 years ago
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