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gavmur [86]
1 year ago
14

Financial managers use escalation to consider the effects of inflation on an acquisition program by applying:_____________

Business
1 answer:
Neporo4naja [7]1 year ago
3 0

Answer:

D. Inflation factors to actual costs incurred by the contractor

Explanation:

The effect of inflation on the profitability of a product cannot be overemphasized. At the time of inflation the profitability of a project will be reduced and the cost of capital will increase. The effect of inflation on a project can be determined by applying inflation factor.

Inflation impacts on the cash flow from a project, especially a project with a long life span.

You might be interested in
From the beginning of 2000 until its peak in 2012, Apple’s stock price rose from $27.97 to $702.10, an increase of 25 times. Yet
Tcecarenko [31]

Answer:

Steve Jobs coming back, Innovations, and Tim Cook taking over as COO

Explanation:

The fluctuations in stock prices of a company are due to improved performance of the company in meeting it's objectives and perception that the business will do better in the future.

In the given scenario there was an initial increase in Apple’s stock price from $27.97 to $702.10, an increase of 25 times.

This can be attributed to the return of Steve Jobs as the CEO of Apple. There was a confidence boost by his coming back. Also there were various innovations like: iPhone, iMac, iPod, and iTunes. These improved the performance and by extension share price of Apple.

However when Tim Cook took over as COO he reduced production by half resulting in stock price decrease by 37% from its peak in September 2012 until the end of March 2013, from $702.10 to $442.66.

3 0
2 years ago
Jackson Brothers decided to create a petty cash fund. They estimated that $200 would be needed in the fund. Demonstrate the corr
jok3333 [9.3K]

Answer:

Petty Cash is debited for $200; Cash is credited for $200

Explanation:

Based on the information given in a situation were they decided to create a petty cash fund in which it was estimated that the amount of $200 would be needed in the petty cash fund which means that the correct journal entry to create the account is to DEBIT Petty Cash with the amount of $200 and to CREDIT Cash with the amount of $200.

Petty Cash is debited for $200

Cash is credited for $200

6 0
1 year ago
Assume the following facts are true for 2016: 318 million people lived in the United States. A total of 2,468,435 of these peopl
Gre4nikov [31]

Answer:

The number of people that were at risk for diabetes in 2016 is 289 million people

Explanation:

The number of persons at risk of a health outcome in a population is the difference between the total population and the number of persons that already have the health outcome in the population.

The number at risk of an outcome is calculated at the beginning of the year, before changes occur throughout the progression of the year, to accurately state the number at risk for that research year.

In our example, we will be concerned only about the data gotten at the beginning of the year, and these include;

The total population = 318,000,000 people

Number of persons with diabetes at the beginning of 2016 = 29,000,000 people.

Therefore, number of persons at risk for diabetes in 2016 = The total population - Number of persons with diabetes at the beginning of 2016

= 318,000,000 - 29,000,000 = 289,000,000 (289 million) people).

Note do not confuse this with the risk ratio for diabetes in 2016, which is the ratio of the number with diabetes and the total population.

5 0
1 year ago
Tom Adams has received a job offer from a large investment bank as a clerk to an associate banker. His base salary will be $59,0
Aloiza [94]

Answer:

Present value of the offer = $739,018.03

Explanation:

The cash flows described in the question from end of year 1 to end of year 20 represent a growing annuity for  20 years. The present value of a growing annuity is calculated as follows:

PV= \frac{P}{i-g}*[1-[\frac{1+g}{1+i}]^n]

where P = the annuity payment in the first period

          i = interest rate per period that would be compounded for each period

         g = growth rate

         n = number of payment periods

P in the 1st year = the base salary of $59,000 + the 10% bonus of $5,900 = $64,900; g is 3.9% ;i=0.1 and n = 20

Present value of the offer = 15,000 received immediately + PV of the growing annuity

= 15,000+\frac{64,900}{0.1-0.039}*[1-[\frac{1+0.039}{1+0.1}]^2^0]=739,018.03

3 0
2 years ago
Daniel Kipper is a produce farmer in northern California. His major customers are grocery stores in the Midwest. Daniel's produc
Scrat [10]

Answer:

The correct answer is A. Trucks.

Explanation:

To think about transport is to think of trucks. Ground transportation is omnipresent in our lives and roads and trucks are its backbone. But ground transportation has many different forms, which translates into very different types of vehicles. Depending on the type of merchandise to be transported, the dimensions or structure of the vehicle, we must choose the one that best suits our needs.

In land transport, the shape and equipment of trucks make them more appropriate for some types of shipments or materials.

Canvas truck (or tauliner) : This type of trailer is the most common and its semi-trailer is covered by the sides and above with tarps, which can be removed. This allows you to be very comfortable for loading and unloading and can be adapted to a large number of materials, as well as being suitable for transporting products that are difficult to load.

Open platform : In this case the platform where the load goes is open (although it may be partially covered by the sides depending on the merchandise and the possibility that it moves). Although it also offers many options, it is usually used for heavy goods, construction, etc.

Refrigerators : As the name implies, refrigerators are the trucks in charge of transporting the merchandise to be transported refrigerated by land. Depending on whether they have cold generation systems or only insulation with the outside they can be refrigerators, refrigerated or isothermal. Food is the most common customer of this type of vehicles.

Although they are less frequent, there are also calorific trucks to keep the temperature above a certain number of degrees.

Tank : Very common ADR merchandise, tanks are used to transport liquid, gaseous and chemical products, which have particular safety requirements.

Closed : closed trucks, as opposed to tarpaulins, have a rigid structure in the cargo compartment. This means that they can only be loaded from the rear, while the canvas ones can also be loaded from the sides. They are vehicles commonly used for urban delivery and parcel delivery, although there are also closed box trailers.

Car holder : These trucks are specifically designed for land car transport. There are two models of car carriers: the open, which is the most common, and the closed. The latter does not allow vehicles to be seen from outside and is sometimes used to transport the most expensive cars.

Cage Truck : Cage trucks are used to transport live animals. To do this, they have part of the sides or roof open so that air reaches the animals and there is sufficient ventilation.

Containers : The containers are watertight cargo structures, which allows them to protect the merchandise from the weather. They are used for multimodal transport and to facilitate loading and unloading of container ships.

The infinity of materials to transport makes the variety of trucks continue and is very long: hopper (often used for earthmoving), stakes (log transport, among others), concrete mixer, armored (money movements), vehicles special for heavy machinery and a long etcetera.

5 0
2 years ago
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