Answer:
18.37%
Explanation:
The internal rate of return is the return at which the net present value comes to zero
Here the net present value is the value at which the present cash inflows after discounting factor is exceeded then the initial investment. If this thing happens then the project would be accepted otherwise it would be rejected
The computation of the range of the plant IRR is to be shown in the attachment below.
Please find the attachmentHence, the internal rate of return is 18.37%
Answer:
horizon value at year 5 = $94.3444
current intrinsic intrinsic value P₀ = $47.73
Assuming that the markets are in equilibrium, Goodwin's current expected dividend yield is and Goodwin's capital gains yield is <u>0(it pays no dividends)</u>.
Goodwin has been very successful, but it hasn't paid a dividend yet. It circulates a report to its key investors containing the following statement:
Goodwin's investment opportunities are poor.
Is this statement a possible explanation for why the firm hasn't paid a dividend yet?
<u>B. False</u>
Generally companies that are experiencing a rapid growth do not pay dividends, because they need all the cash that they can use to finance their expansion. Sometimes mature companies that have a steady growth rate will also choose not to pay dividends because they consider themselves as solid investments and not paying dividends allows them to grow more and should increase stockholders' wealth more.
Explanation:
D₃ = $5.50
D₄ = $7.073
D₅ = $9.096
D₆ = $9.642 (and a constant growth rate of 4.38%
Re = 14.60%
horizon value at year 5 = $9.642 / (14.6% - 4.38%) = $94.3444
intrinsic value P₀ = $94.3444 / 1.146⁵ = $47.73
Answer:
Instructions are below.
Explanation:
Giving the following information:
When it produces and sells 4,000 units, its average costs per unit are as follows:
Variable manufacturing overhead $1.40
Fixed manufacturing overhead $ 2.60
Units produced= 3,000
<u>To calculate the unitary indirect manufacturing cost, you can use two different methods</u>. The variable method only uses the variable manufacturing overhead. The absorption method uses the total unitary overhead.
Total fixed overhead= 2.6*4,000= 10,400
<u>Variable costing method</u>:
Unitary indirect manufacturing cost= $1.4
<u>Absorption costing method:</u>
Unitary fixed overhead= 10,400/3,000= $3.47
Unitary indirect manufacturing cost= 1.4 + 3.47= $4.87
Answer:
$200
Explanation:
GDP refers to the total value of all goods and services produced in a country in a period. Economists consider all products regardless of who manufactured them. Only finished consumer goods and services are counted to avoid double counting.
In the scenario, only the fruits and vegetables will add to the US GDP. They are finished consumer goods produced within the borders of the US. If they were capital goods, they would not be included in GDP calculations. The $100 spent on MP3 will not count because the item was not produced in the US. It is an import. Its value will be adjusted against exports when calculating GDP.
Given that <span>a
major big box store allegedly adds 5 percent to the total cost of
production or cost of purchasing items it sells in its store, then adds
to this number the additional costs and profits in order to arrive at
the product's selling price. the 5 percent represents the markup amount.</span>
