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Olegator [25]
3 years ago
11

Wells, Inc., has identified an investment project with the following cash flows. Year Cash Flow 1 $ 865 2 1,040 3 1,290 4 1,385

a. If the discount rate is 8 percent, what is the future value of these cash flows in Year 4
Business
1 answer:
andrezito [222]3 years ago
5 0

Answer:

Total FV= $5,080.86

Explanation:

Giving the following information:

Cash Flow:

Cf1= $865

Cf2= $1,040

Cf3= $1,290

Cf4= $1,385

Discount rate (i)= 8%

<u>To calculate the total future value, we need to apply the following formula to each cash flow:</u>

FV= Cf*(1+i)^n

Cf1= 865*1.08^3= 1,089.65

Cf2= 1,040*1.08^2= 1,213.01

Cf3= 1,290*1.08= 1,393.2

Cf4= 1,385

Total FV= $5,080.86

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Novak Corp. bought equipment on January 1, 2022. The equipment cost $390000 and had an expected salvage value of $35000. The lif
nirvana33 [79]

Answer:

$177,000

Explanation:

In order to find the book value of the equipment we need to find the amount of depreciation per year. To do this we need to subtract the salvage value from the initial cost and then simply divide by 5 which is the life span of the equipment...

(390,000 - 35,000) / 5 = x

355,000 / 5 = x

71,000 = x

Now we see that the equipment will depreciate by $71,000 per year. In three years the depreciation would be

71,000 * 3 = 213,000

Now we simply subtract this value from the initial cost to get the book value in the third year

390,000 - 213,000 = 177,000

7 0
3 years ago
In the _____ stage of selecting information technology projects, organizations select information technology projects. a. projec
Rainbow [258]

In the <u>Resource Allocation</u> stage of selecting information technology projects, organizations select information technology projects.

Explanation:

The first step of a planning process to align the information technology strategic plan to the organization's overall strategic plan

The<u> project planning  stage</u> refers to that stage of project planning which involves , selecting information technology projects, organizations and defining the scope of the project , benefits, and constraints of the same

The <u>business area analysis</u>  stage of information technology planning outlines business processes that are central/important  in  achieving strategic goals and helps determine which ones could most benefit from information technology.

So,it is in the <u>Resource Allocation</u> stage of selecting information technology projects, organizations select information technology projects.

3 0
3 years ago
In the short run, the quantity of output that firms supply can deviate from the natural rate of output if the actual price level
Iteru [2.4K]

Answer:

1. Rise

2. Reducing

3. Fall below

4. Rises above

Explanation:

1. Sales from catalogues will fall because people will demand less as a result of the catalogue price being higher than the actual price.

2. As the rules of Supply and Demand opine, the Catalogue companies will have to reduce supply in response to a decrease in demand.

3. The natural output quantity will be more than the output supplied.  have attached a graph and a table to show an example using the figures.

4. The short-run quantity of output supplied by firms will rise above the natural rate of output when the actual price level rises above the price level that people expected as shown by the graph.

6 0
3 years ago
A flower shop makes a large sale for $1,200 on November 30. The customer is sent a statement on December 5 and a check is receiv
maxonik [38]

Answer:

B. November 30

Explanation:

The revenue recognition principle under GAAP states that revenue has to be recognized when services are performed or sales  made irrespective of its invoicing or collection date.

Since the sale was made on November 30 the revenue is to be recognised on this date.

The other options A and C are the dates on which the statement was sent or the collection date which are not relevant for revenue recognition.

3 0
3 years ago
Read 2 more answers
Which of the following explains why acceptance into a master’s degree program for museum conservation is competitive?
Nina [5.8K]

Answer:

The answer would be D The programs in the United States are very limited in number.

Explanation:

It is D because Employers of conservators are looking for applicants with a master’s in conservation or a similar field and substantial work experience. Unfortunately, there are only a few museum conservation techniques master’s programs available in the United States, so entry into these programs is competitive. These programs last two to four years. Applicants need to have a background in art history, studio art, archaeology, and chemistry along with work experience. Knowing a foreign language is helpful when applying to some programs. It is also beneficial to participate in an internship or apprenticeship during undergraduate work.

3 0
3 years ago
Read 2 more answers
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