The first answer is is outsourcing as the product is beign made in a foreign country and they do this to reduce production cost, where they do not have to gather raw materials for themselves.
Answer:
The question is: "What is the maximum initial cost the company would be willing to pay for the project?"
The maximum initial investment cost the company would be willing to pay for the project is $18,817,204.
Explanation:
We have D/E = 0.8 => D/ (D+E) = 4/9; E/(D+E) = 5/9.
WACC of the firm = 4/9 x 4.3% + 5/9 x 11.5% = 8.3%.
Adjustment for cost capital due to higher risk of the project: 8.3% + 3% = 11.3%.
=> Maximum initial investment cost is equal to the net present value of the cash saving the project brings about discounting at project's cost of capital, calculated as:
1,750,000/ (11.3% - 2%) = $18,817,204.
Thus, the Maximum initial investment cost is $18,817,204.
Answer:
She owes 4500 because she leased the apartment for 1 year and her yearly total would be 6,000 but since she left after three months the amount she paid was 1,500 and 6,000 - 1,500 is 4,500 that is how much she owes.
Explanation:
I hope this helped have a great day!
Leslie's budget is hurting in the areas of transportation, groceries, phone and dining out.
<u>Explanation:</u>
For transportation, cash is required for every day. So Leslie is spending more on transportation every month. Forgoing back and forth out anyplace she will burn through cash on transportation.
She is likewise spending cash on goods. Staple goods will be an essential one for living these days. So the financial backing is harming here.
She is spending another hand on the telephone and eating out. For the telephone, she will energize each month. She will feast out with companions each day.
