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kaheart [24]
3 years ago
7

In capital budgeting decisions, corporate risk will be of least interest to: a. The local community. b. Employees. c. Institutio

nal investors. d. Creditors. e. Stockholders with few shares.
Business
1 answer:
Neko [114]3 years ago
6 0

Answer:

c. Institutional investors.

Explanation:

Institutional investors -

<u>It is an entity that pools the money in order to purchase securities , the real property and other investment assets or loans .</u>

It includes banks , companies , insurance , pensions , hedge funds , mutual funds , endowments .

Hence , for the capital budgeting decisions , the corporate risk is the minimum in this case .

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Assume that securitization combined with borrowing and irrational exuberance in Hyperville have driven up the value of existing
iVinArrow [24]

Answer:

$120

Explanation:

Given:

• Geometric growth rate of existing financial security:

$4 to $8 to $16 to $32 to $64 to $128

• Arithmetic growth rate of underlying assests:

$4 to $6 to $8 to $10 to $12 to $14

From the values, when the price of the underlying assests is $14, the price of the existing financial security is $128.

We are told to that when values of financial secrities increased from $4 to $128, that of underlying assests also increased from $4 to $14. If patterns hold for decreases as well as for increases. Therefore to get the value of financial securities decline if the value of underlying assests suddenly and unexpectedly fell by $6, we have:

Price of underlying assests when decreased by $6 =

$14-$6 = $8.

Therefore, price of existing financial security decline wil be:

$128-$8 = $120

6 0
2 years ago
TRANSACTIONS1. John Amos started the business with a cash investment of $60,000.2. Purchased equipment for $22,000 on credit.3.
Tanya [424]

Answer:

Cash  44,250      

Receivables  $1,850      

Equipment $26,600        

Accounts payable 9,000    

Capital 60,000    

Revenue 8,150  

Expenses 4,450

Explanation:

The question is to determine the recording of the transactions above on the Accounting equation

The accounting equation says Assets = Liabilities + Owners' Equity

In this context assets = Cash, Receivables and Equipment

Liabilities = Payables

Owners' Equity = Capital + Revenue - Expenses

The Accounting Equation

ASSETS                                            = LIABILITIES       +     OWNERS EQUITY

 Cash      + Receivables + Equip.           payable   + Capital + Rev -  Expens

1. $60,000                                                                      60,000

2.                                            $22,000     $22,000

3. $3,100                                                                                        3,100

4. -4,600                                    4,600

5                      $5,050                                                                  5,050

6. -4,450                                                                                                    4,450

7. 3,200           -3,200

8. -13,000                                                    -13,000

<u>     44,250        $1,850        $26,600         9,000    60,000     8,150   4,450</u>                  

6 0
3 years ago
Sonya showed the office manager at Arunden Solutions how he could pay for the new copier she was selling by bringing more of Aru
kipiarov [429]

Answer: Cost-Benefit Analysis

Explanation:

  • The cost-benefit analysis is one of the process in which the company or an organizations are basically analyzing the decisions, projects, weakness and also the strengths for the purpose of determining the best way for achieving the various types of benefits and cost in the system.  
  • The importance of the cost benefit analysis to that it helps in providing the various types of opportunities in the form of investing in the advertising campaign of the product.      

According to the given question, Sonya is using the Cost benefit analysis fr the purpose of quantifying the given solution based of the basis of given situation.  

 Therefore, Cost-benefit analysis is the correct answer.

5 0
3 years ago
Stellar Plastics is analyzing a proposed project with annual depreciation of $19,500 and a tax rate of 34 percent. The company e
marysya [2.9K]

Answer:

$20,226

Explanation:

expected sales = 11,400 - 12,000 - 12,600

expected sales price = $7.20 - $7.50 - $7.80

expected variable cost = $3.072 - $3.20 - $3.328

total fixed costs = $31,000

if you use an excel spreadsheet you can calculate all the different possible simulations and combine all the expected sales x 3 different price levels x 3 different variable costs and 1 fixed cost. Once you get all the 27 possible solutions, you just get the average.

I attached it because there is no room here.

Download pdf
0 0
2 years ago
The responsibility for evaluating new technologies, new ideas, and new capabilities and identifying those that are most relevant
Rasek [7]

The responsibility for evaluating new technologies, new ideas, and new capabilities and identifying those that are most relevant to the organization is typically assigned to the <u>Chief technology officer​ (CTO)</u>

<u></u>

<u></u>

The chief technology officer (CTO) is the highest technical leadership position within a company, leading the technical or engineering department. Create policies and procedures and use technology to improve our external customer-focused products and services.

The Chief Technology Officer (CTO) is the executive responsible for overseeing the entire IT department and integrating business needs and requirements into IT planning and operations. It's important to distinguish their role from that of the Chief Information Officer (CIO). The Chief Information Officer (CIO) role focuses on technology that internally guides an organization through the management of its infrastructure. The Chief Technology Officer has a job description focused on developing technologies for customer sales and the external growth of the company. The CTO and her CIO often combine their technical and engineering knowledge to work together for the benefit of the entire organization.

<u></u>

Learn more about the Chief technology office here brainly.com/question/17999351

#SPJ4

5 0
2 years ago
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