Which of the following best describes the primary reason for implementing a new information system, from a

Consider the following projects, X and Y where the firm can only choose one. Project X costs $600 and has cash flows of $400 in

Maksim231197 [3]

Answer:

Neither any of the projects should be accepted

Explanation:

In this question, we have to use the net present value formula which is shown below:

Net present value = Present value of all years cash flows - Initial investment

where,

The Present value of cash inflows is calculated by applying the discount rate which is presented below:

For this, we have to first compute the present value factor which is computed by a formula

= 1 ÷ (1 +rate) ∧ number of year

number of year = 0

number of year = 1

Number of year = 2

So,

Rate = 25%

For year 1 = 0.800 (1 ÷ 1.25) ∧ 1

For year 2 = 0.640 (1 ÷ 1.25) ∧ 2

Now, multiply this present value factor with yearly cash inflows

So

For Project A,

The present value of year 1 = $400 × 0.800 = $320

The present value of year 2 = $400 × 0.640 = $256

and the sum of all year cash inflow is $576

So, the Net present value would be equal to

= $576 - $600 = -24

And,

For Project B,

The present value of year 1 = $500 × 0.800 = $400

The present value of year 2 = $275 × 0.640 = $176

and the sum of all year cash inflow is $576

So, the Net present value would be equal to

= $576 - $600 = -24

Since in both the projects, the NPV is negative.

Hence, neither any of the projects should be accepted

4 0

2 years ago

Glenn is the R&D manager with Quick Print Inc. The company is having a problem with one of its most popular copiers jamming.

Arlecino [84]

Answer:

The correct answer is (C) Diagnosis.

Explanation:

The marketing plan is the starting point to successfully implement the business strategies of any business. It is a written document that must contain the objectives, strategies and actions to be performed. It must be developed both strategically and tactically; that is, you must consider the conditions surrounding the business and the details of the execution of the plan.

Within the strategic level, there is the diagnosis. This step is fundamental, as it provides the foundation for the development of a good marketing plan. The diagnosis allows to gather crucial information regarding the initial situation of the business and the market, with which it is possible to anticipate the threats or opportunities provided by external factors.

5 0

2 years ago

If fixed costs are $850,000 and the unit contribution margin is $50, profit is zero when 15,000 units are sold.

Firlakuza [10]

B false
Hope this helps

6 0

2 years ago

The following transactions are July activities of Bennett’s Bowling, Inc. Bennett’s collected $13,100 from customers for games p

defon

Answer: This is a lot to read , and I dont feel like reading it , plus im in 8th grade I dont understand this tbh :(

Explanation:

5 0

2 years ago

You created a financial model for a pitchbook being presented tomorrow to a potential new client. While reviewing the final vers

sashaice [31]

Explanation:

A pitchbook is confidential document. It is basically a sales document, used by the sales force, which contains main features or attributes of the firm, the potential of the firm and the future aspects of the firm in detail.

So keeping the given question in mind, I would write to my supervisor as follows:

Subject: Assistance Required

Body:

Dear Sir,

By reviewing the whole document finally, which is to be presented to the client tomorrow, I found some mistakes in the results. I came to know that the results are incorrect and are surely needed to be corrected before the presentation.

I recommend you to delay the meeting for 3 hours by the scheduled time, as i need to check and correct the whole figures again and this would take time.

I am looking forwards for your advice.

Best Regards

6 0

2 years ago