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kaheart [24]
3 years ago
5

Some investment projects require that a company increase its working capital. Under the net present value method, the investment

and eventual recovery of working capital should be treated as:
A) an initial cash outflow.

B) a future cash inflow.

C) both an initial cash outflow and a future cash inflow.

D) irrelevant to the net present value analysis.
Business
1 answer:
Fofino [41]3 years ago
7 0

Answer:

C) both an initial cash outflow and a future cash inflow.

Explanation:

Net present value method: The initial investment is subtracted from the discounted cash inflows of present value in this approach. If the sum is positive than the project, otherwise it is not beneficial to the company.

In mathematically,

Net present value = Present value of all annual cash inflows after the discount factor is applied - initial investment

The change in working capital impact the initial cash outflows and future cash inflows i.e net present value

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Answer:

Yes, if doctor pays at least $275 to designer, there will be no noise and designer will be able to produce without increases costs.

Explanation:

The surfboard designer makes a lot of noise.Doctor on the other hand needs peace to function. The doctor an shift to another building but rent is $350 more.

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Assuming that there is no cost involved in negotiations, both parties can be better off if the doctor pays at least $275 to designer to adopt new technology. The maximum amount the designer will be willing to give will be $350.

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Discuss how key practices in the partnering approach to managing contracted relationships vary from those in the traditional app
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Answer:

Approaches to risk, structure and length of commitment has been changed in a positive way.

Explanation:

Approaches to risk, structure and length of commitment has been changed in a positive way. Risk is greatly changed by introducing the following strategy:

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The risk is analyzed first to identify the nature whether it can be transferred or not if yes it is transferred, if not then risk is again analyzed if this can be avoided, if not then risk is again analyzed if the chances of risk occurring can be reduced, if not then the risk is accepted.

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4 0
3 years ago
You buy a put option to sell stock at $35. The price of the stock is $34 when you bought it, and the price paid for the put is $
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Answer:

Answer for below mentioned question "

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is explained in the attachment.

Explanation:

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Regardless of on whom a tax is levied, sellers face which of the following?
IceJOKER [234]

Answer:

A a decrease in the amount of money they receive

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Which of the following methodologies takes the list of desired customer attributes (CAs) generated by market research and turns
lianna [129]

Answer: B. Quality function deployment

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