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Alex_Xolod [135]
2 years ago
5

All else constant, the net present value of a typical investment project increases when:

Business
1 answer:
nekit [7.7K]2 years ago
3 0

Answer:

The correct answer is letter "B": The rate of return decreases.

Explanation:

Net Present Value or NPV is a mathematical calculation used to determine if a project could be profitable or not. NPV is obtained by subtracting the present value of outflows from the present value of inflows, In case NPV is positive, it is expected a project will provide the firm profits, while a negative NPV implies the company incurring in losses.

<em>The Rate of Return (RoR) has an inverse relation with the NPV meaning if the RoR decreases the NPV will increase and vice versa.</em>

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Primary data will be data that you gather particularly with the end goal of your examination venture. An advantage of primary data is that it is particularly custom fitted to your examination needs. A weakness is that it is costly to acquire.  

Secondary data alludes to information which is gathered by somebody who is somebody other than the client. Regular sources of secondary data for sociology incorporate censuses, data gathered by government divisions, hierarchical records and information that was initially gathered for other research purposes.

8 0
2 years ago
Other data not yet recorded at December 31 include Insurance expired during the current year, $6. Wages payable, $4. Depreciatio
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Answer:

Using the adjusted balances, give the closing entry for the current year.

Explanation:

1  

Db Insurance expense  6000  

Cr Prepaid expenses           6000

 

2  

Db Wages payable 4000  

Cr Cash                                4000

 

3  

Db Depreciation expense 9000  

Cr Accumulate depreciation     9000

 

4  

Db Income tax expense 7000  

Cr Tax payable                      7000

3 0
2 years ago
Read 2 more answers
Your entertainment price index (EPI) was computed based on three goods: movie tickets, popcorn, and limeade. If you change the q
DaniilM [7]

Answer:

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2 years ago
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Peter is a manager at a fast-food restaurant. He wants to introduce a kid's meal into the restaurant's menu. He wants to convinc
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2 years ago
You are a finance intern at Chambers and Sons and they have asked you to help estimate the company's cost of common equity. You
Nesterboy [21]

Answer:

Cost of equity, re= 0.098356 or 9.84 %

Explanation:

D1 = $ 1.25

P0 = $ 27.50

gL = 5 % = 0.05

F = 6 % = 0.06

Cost of equity, re can be calculated using the formular below:

Cost of equity, re = D1/ {P0 x (1- F)} + gL

                             = $ 1.25 / {$ 27.50 x (1- 0.06)} + 0.05

                             = $ 1.25 / ($ 27.50 x 0.94) + 0.05

                             = $ 1.25 / 25.85 + 0.05

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Cost of equity, re= 0.098356 or 9.84 %

8 0
2 years ago
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