Find the internal rates of return on a cash flow with deposit amounts of A = 40, A₁ = 120, A₂ = 290, and withdrawal amounts of B₁ = 240, B₁ = 20, B₂ = 10, at times t = 0, t = 1, t = 2, respectively.
Answers
The internal rates of return on a cash flow with deposit amounts of A = 40, A₁ = 120, A₂ = 290, and withdrawal amounts of B₁ = 240, B₁ = 20, B₂ = 10, at times t = 0, t = 1, t = 2, respectively is 20.65%.
To find the internal rates of return on a cash flow with deposit amounts of A = 40, A₁ = 120, A₂ = 290, and withdrawal amounts of B₁ = 240, B₁ = 20, B₂ = 10, at times t = 0, t = 1, t = 2, respectively, we need to find the present value of cash inflow and outflow at each time period t and then solve for the internal rate of return using the formula. Internal Rate of Return (IRR) is the discount rate that makes the net present value (NPV) of a series of cash flows from a project equal to zero.Present Value (PV) is the current value of a future sum of money or stream of cash flows given a specified rate of return.
The cash flow is as follows:Time period t = 0A = 40B = 0Net cash flow = 40Time period t = 1A = 120B = 240Net cash flow = -120Time period t = 2A = 290B = 20 + 10 = 30Net cash flow = 260
To find the present value of cash flows, we need to discount them at a given rate of interest using the formula:PV = CF / (1 + r)twhere, CF = cash flow at time t, r = discount rate or interest rate, and t = time period
For time period t = 0:PV = 40 / (1 + r)0 = 40For time period t = 1:PV = -120 / (1 + r)1 = -120 / (1 + r)
For time period t = 2:PV = 260 / (1 + r)2Let us assume r as x and solve for IRR.IRR = x
Therefore, the equation becomes:40 - 120 / (1 + x) - 30 / (1 + x)2 = 0Solving for x using the trial and error method, we get:x = 0.2065 or x = 1.4276 or x = 3.0508Only one positive IRR can exist. Hence, the IRR is 20.65%.
Therefore, the internal rates of return on a cash flow with deposit amounts of A = 40, A₁ = 120, A₂ = 290, and withdrawal amounts of B₁ = 240, B₁ = 20, B₂ = 10, at times t = 0, t = 1, t = 2, respectively is 20.65%.
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Related Questions
Which two are benefits of equity funding? (Choose two)
1. Loan payments are predictable; they do not change with the fortunes of the business.
2. Can be used to raise working capital.
3. Investors do not get paid if the business does not make a profit.
4. Loan payments can be set up so they match seasonal sales of the business.
5. Investors have no say in the management or direction of the business.
Answers
The benefits of equity funding are it can be used to raise working capital.
Investors do not get paid if the business does not make a profit. Option 2 and option 3 are appropriate response.
What is equity funding?
The practice of raising money through the selling of shares is known as equity funding. Companies raise money to pay expenses in the short term or because they have a long-term objective and need money to invest in their expansion.
A firm effectively sells ownership in their business when it sells equity shares in exchange for money. There are two methods of equity funding: the private placement of stock with investors and public stock offerings.
Equity funding is used when companies, have a short-term need for cash. It is used to raise working capital. It carries no repayment obligation, investors are only paid when the business is profitable.
Hence option 2 and option 3 are correct response.
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An increase of one on the richter scale represents ____ increase in the movement of the earth.
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An increase of one on Richter scale represents 10-fold increase in movement of the earth.
What is Richter scale?Charles Francis Richter created the Richter scale, also known as the Richter magnitude scale, Richter's magnitude scale, and Gutenberg-Richter scale, and first published it in his seminal 1935 work under the name "magnitude scale." Later, the local magnitude scale, abbreviated as ML or ML, was developed and named. Most seismological authorities now publish earthquake magnitudes using other comparable scales, including the moment magnitude scale (Mw), as a result of the original ML scale's numerous flaws; yet, a large portion of the news media continues to refer to them as "Richter" magnitudes. All magnitude scales are adjusted such that their numerical values are substantially equivalent and keep the original's logarithmic nature (typically in the middle of scale).
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Should a business email contain a salutation?
Answers
Answer:
A business email is meant in a professional way. It can be sought out as multiple different approaches, one of them, in this case, can include a friendly and welcoming business approach, including a salutation. All in all, it is up to the writer, there is no fully correct answer. Hope this helps :)
can someone please help me with this question?
Answers
Answer:
We can first assess the effects of each of the transactions on the balance cheat.
the a) transaction will reduce cash by $500, and reduce creditors by the same amount.
the b) transaction will increase cash by $300, and reduce debtors by the same amount.
the c) transaction will reduce cash by $1,000, and reduce the Loan from L. Stennett by the same amount.
Now we can list this effects.
Cash is reduced by $500 + $1,500 and increased by $300. The total net effect on cash is then a $1,200 decrease ($1,500 decrease + $300 increase).
All the other accounts have only one reduction, so we simply substract that figure from the balance sheet on the picture to obtain our new figures.
Now we can write the new balance sheet
Balance Sheet as at 10 April 2007
Assets
Buildings $6,000
Motor Vehicle $4,000
Stock of Goods $2,000
Debtors $2,500 (-$300)
Cash at bank $2,000 (-$1,200)
Total Assets $16,500
Liabilities
Loan L. Stennet $1,000 (-$1,000)
Creditors $1,100 (-$500)
Total Liabilities $2,100
Capital $14,400
By the accounting equation, Capital + Liabilities = Assets, we see that it holds true: $14,400 + $2,100 = $16,500, so are figures are right.
How does where you can purchase the candy affect the price? How does it affect the availability?
Answers
There is a growing movement in the United States led by the progressive wing of the Democratic Party to have the federal minimum wage raised to $15/hr. Some people agree with the $15/hr minimum wage for the United States, while others oppose raising the minimum wage. The arguments against raising the minimum wage range from the government should not dictate salaries to it will cause low wage workers to lose their jobs since businesses cannot afford a $15/hr minimum wage.
Do you agree with a $15/hr federal minimum wage? The current federal minimum wage in the United States is $7.25/hr. Fully explain your position on this issue in 2 - 3 paragraphs.
Source: Surviving an Unlivable Wage l Full Documentary (Financial Literacy)
Answers
In my opinion, minimum wage should be increased because an increase in minimum wage would reduce poverty, increase consumer spending, and promote economic growth.
Why Should Minimum Wage be Increased?Minimum wage has not kept pace with inflation, and that the current federal minimum wage of $7.25/hr is not a living wage in most parts of the United States. A $15/hr minimum wage would provide a more realistic living wage for many low-wage workers, but there is disagreement on whether this should be achieved through federal legislation or through individual state action.
Ultimately, whether or not to raise the minimum wage is a complex issue that involves balancing the needs of workers, businesses, and the overall economy. It is important for policymakers to carefully consider the potential impacts of any minimum wage increase and to find ways to support low-wage workers without unduly burdening businesses.
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A state j is absorbing if it is certain to return to itself in one transition, that is pjj =1 Select one: O True O False
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True. In probability theory, a state j is considered absorbing if the probability of transitioning from state j to itself in one transition (denoted as pjj) is equal to 1.
This means that once the system enters the absorbing state j, it will remain in that state indefinitely and will not transition to any other state.
In other words, if pjj = 1, it implies that there is a 100% chance of staying in state j and no possibility of transitioning to any other state. Absorbing states often represent terminal states or final outcomes in a stochastic process or Markov chain.
It is important to note that in a Markov chain, not all states need to be absorbing. Some states may be transient, meaning there is a positive probability of transitioning to other states. However, if a state has pjj = 1, it is considered an absorbing state since it guarantees that the system will eventually return to that state and remain there.
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PLS HELP WILL GIVE BRAINLIEST!!!!
The right to own a business is referred to as the right ___.
of free enterprise
of private property
of competition
of freedom of choice
to earn a profit
Answers
Of free enterprise
Explanation:
an economic system in which private business operates in competition and largely free of state control.
Did Sue draw this circle change into passive voice
Answers
Answer:
Was this circle drawn by Sue?
Explanation:
When a _____ externality exists the socially optimal level of output will be greater than that resulting from a _____ market.
Answers
When a positive externality exists the socially optimal level of output will be greater than that resulting from a private market.
The output level that takes into account all of the benefits and drawbacks of a transaction, or the equilibrium that would be reached if the results of the market took into account the impact of externalities.
"The ideal distribution of resources in society, taking into consideration all external costs and benefits as well as internal costs and advantages," is how economists define a "socially optimal solution."
The distribution that a charitable social planner chooses, limited solely by the endowment of resources, is the social optimum. In general, the social optimum will not be possible if the social planner's policy tools are constrained.
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What do you think are the most important components of budgeting? Why?
Answers
Answer:
I would have to say figuring out ur cash flow where its going after u earn it and making sure u keep track of ur savings
Explanation:
Seven years ago, you paid $324,800 to purchase a rental house. the maintenance expenses average $200 a month and property taxes are $4,800 annually. the house was recently appraised at $439,500. if you sell the house you will incur $14,200 in selling costs. if you decide to use the house as your office, what value should you assign it
Answers
The value that would be assigned to this house if you decide to use it as your office would be $ 425300
How to solve for the value of the house using opportunity costTo get the value of the house, you have to get the opportunity cost of the house. This is the foregone alternative or benefits forgone due to another choice.
The formula is opportunity cost = Apprised Value - Selling costs
The apprised value = $439,500.
selling cost = $14,200
$439,500 - $14,200
= $ 425300
Hence the value that should be assigned to it is $ 425300
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secondary stakeholders are important to a company because ____.
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Secondary stakeholders are important to a company because they are the entities that affect or influence or are affected or influenced by the company's activities and performance but are not engaged in transactions with the company. They are not directly involved in the company's business dealings but have a significant impact on the company's operations, decision-making, and overall success.
Secondary stakeholders are individuals or groups that do not engage in direct business transactions with a company but have a significant impact on its operations. They include, but are not limited to, regulatory agencies, trade unions, local communities, environmental groups, the media, and financial institutions. It is critical for businesses to engage with these stakeholders to understand their expectations, concerns, and needs. In doing so, businesses can address issues before they become major problems, establish positive relationships with the community, enhance their reputation, and potentially increase their customer base. Secondary stakeholders can also influence public opinion, government policies, and the company's financial performance.
Therefore, it is essential to engage with these stakeholders and maintain open lines of communication to avoid negative consequences. Businesses that ignore or neglect secondary stakeholders run the risk of tarnishing their reputation, losing customer loyalty, and damaging their long-term viability. As a result, it is critical for businesses to acknowledge and engage with these stakeholders to ensure that their interests and needs are addressed and that the business operations align with their expectations.
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Internships are usually paid.
True or False
Answers
Answer:
Depending on you're position. Can not be paid
Explanation:
Although Many Employee's do pay their interns, and some of there companies recognize the value in training for somebody became an after they finished college.
what is the primary role of consumers in a free market economy?
Answers
Answer:
The consumer is the one who pays to consume the goods and services produced.
Explanation:
As such consumers play a vital role in the economic system of a nation. In absence of effective demand the producers would lack a key to motivation
If a revenue in total for a month was $9,550, fixed expenses were $9,000 and variable expenses were $300 what would be the total profit/loss for the month?
Answers
Answer:
the answer would be 250
because 9,000-9,550 = 550 -300= 230
what can i do if my total in cash account is not the same in credit and debit side?
Answers
Answer:
Consider which items are meant for debit and credit.
Explanation:
The principle of double entry States that for every debit entries, there must be a corresponding credit entries and vice versa. This principle follow suits when preparing ledger accounts and trial balance.
Trial balance is the arithmetrical accuracy of the ledger. Once double entry principle is adhered to, the trial balance must definitely balance.
Where there are differences, check that items which ought to be debited and credited are correctly done. Also check if correct amount is posted like avoiding transposition error.
On january 1, 2021, wooten technology associates sold computer equipment to the denison company. deliv- ery was made on january 1, 2021, but payment for the equipment of $10,000 is not due until december 31, 2021. assuming that wooten views the time value of money to be a significant component of this transaction and that an 8% interest rate is applicable, how much sales revenue would wooten recognize on january 1, 2021?
Answers
Wooten Technology Associates sold computer equipment to the Denison Company on January 1, 2021. Payment for the equipment, totaling $10,000, is not due until December 31, 2021. Considering the time value of money and applying an 8% interest rate, the amount of sales revenue that Wooten would recognize on January 1, 2021, needs to be determined.
To account for the time value of money and recognize sales revenue on January 1, 2021, Wooten needs to consider the present value of the future payment. The present value represents the current value of a future amount, taking into account the interest rate and the time period.
Using the present value formula, we can calculate the amount of sales revenue that Wooten would recognize on January 1, 2021:
Present Value = Future Value / (1 + Interest Rate)^n
Where:
Future Value = $10,000 (the payment due on December 31, 2021)
Interest Rate = 8% (0.08)
n = number of periods (in this case, the time between January 1, 2021, and December 31, 2021, is one year)
Using the formula, we calculate the present value as follows:
Present Value = $10,000 / (1 + 0.08)^1
= $10,000 / 1.08
= $9,259.26
Therefore, Wooten Technology Associates would recognize sales revenue of $9,259.26 on January 1, 2021, considering the time value of money and an 8% interest rate. This amount represents the present value of the future payment due on December 31, 2021.
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1.) The PERCENTAGE of interest or dividends earned on money that is invested
Answers
Answer:
Rate of return.
Explanation:
Rate of return can be defined as the percentage of interest or dividends earned on money that is invested.
In Financial accounting, a return refers to the amount of profit generated by an investor on an investment over a specific period of time.
Basically, the rate of return which is typically expressed as a percentage of the initial costs of an investment can either be a gain or a loss on an investment. Therefore, a positive rate of return on an investment over a specific period of time, simply means that an investor is making a profit (gains) while a negative rate of return on an investment over a specific period of time, indicates that the investor is running at a loss.
Hence, the rate of return is used as a long-term decision-making tool to determine whether or not an investment is worth it.
the threat of exit by businesses can lead to unhealthy competition between states over business investment. what is it called when states unhealthily compete with each other for business investment by offering lower taxes and socially undesirable regulatory standards?
Answers
This is commonly referred to as a "race to the bottom".
When states compete with each other for business investment by offering lower taxes and fewer regulations, it can lead to a degradation of environmental, labor, and other standards, which can have negative impacts on citizens and communities.
It's important to note that this kind of competition between states can result in a lose-lose situation, where companies are attracted to the state with the lowest standards, and residents and communities suffer as a result. To prevent this type of competition, some proponents of inter-state cooperation advocate for a "race to the top", where states work together to maintain high standards and promote sustainable economic growth.
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What is Jack doing to ensure savings for a new car?
Answers
Answer:
Could you add more context?
Explanation:
Answer:
He could be putting the money into the bank.
Explanation:
At a recent stockholders meeting for Ignate Inc., a group of stockholders expressed disagreement with the way that the managers were using free cash flow. Because they wanted to be able to control how the cash is invested, the stockholders lobbied that the free cash flow should be:
Answers
The stockholders lobbied that the free cash flow should be distributed to them as dividends.
The Free cash flow means money that business generates from its main business activities after necessary deduction of capital expenditures.
The Free cash flow are used to make further investment to allow more cash inflow into the organization.
But here, the stockholders are expressing their disagreement with the way that the managers were using free cash flow, therefore, they prefers that dividend are paid to them rather than managers investing the Free Cash Flow.
Therefore, the Option B is correct.
The options includes "a. used to pursue cross-border acquisitions. O b. distributed to them as dividends. O C. invested in new research and development O d. used to pay down corporate debt."
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When agent Hal shows a home he should never:
Ask questions of the prospects' children.
Start in the room with the best features.
Allow indoor pets to leave their designated area.
Leave everything as it was when he entered.
Answers
When agent Hal shows a home he should never Allow indoor pets to leave their designated area. Option (c) is correct.
What do you mean by Prospects?Prospectus is the likelihood or potentiality that something will occur.
A real estate agent who holds a license facilitates transactions between buyers and sellers and represents them in court. Agents typically receive payment in the form of commission, which is a percentage of the sale price of the home. Depending on their state and brokerage, agents receive a different percentage.
As a result, Option (c) is correct. When agent Hal shows a home he should never Allow indoor pets to leave their designated area.
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Janet’s Photography, Inc., is made up of a team of professional wedding photographers. The company has no physical storefront and does all of its business online. Janet’s Photography is an example of a(n) ___ business.
click-and-brick
electronic
brick-and-mortar
click-and-mortar
Answers
The business, which is named Janet’s Photography, Inc., is made up of a team of professional wedding photographers, and the company has no physical storefront and does all of its business online. Therefore, Janet’s Photography is an example of a click-and-brick business. Thus, option A is the correct option.
What is a click-and-brick business?The "click and brick" business is a type of business model. In this model, the owners operate their business and network in both ways, online and offline.
clients and customers through all kinds of media, such as offline and online.
Janet's Photography is an illustration of a click-and-brick company. As a result, choice A isThere are so many benefits of the click-and-brick business model, such as the businesses get more the best one.
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1.
In 2016, a market had sales of £350.000. In 2017, the market grew by 5%.
Calculate the new market size in sales value.
Answers
Answer:
The new market size in sales value is 367,500
Explanation:
Answer:
£367,500
Explanation:
the market was £350,000 in 2016.
in 2017, the market grew by 5%.
the new market size will 5% more than 2016.
if 2016 was 100%, 2017 will be 105%
2017 = 105% x £350,000
=105/100 x £350,000
=1.05 x £350,000
=£367,500
FILL IN THE BLANK. A logical place to begin selecting employee benefits is to establish __________ for the benefits package.
Answers
E is the ideal choice. According to your text, setting goals for the benefits package is a natural place to start when choosing employee benefits.
A vital first step in developing an employee benefits programme is identifying the program's objectives. This will provide broad guidelines for picking and creating the benefits programme. A statement of the organization's goals for delivering benefits that take into account the needs of both the employer and the employee is frequently supplied by the process rather than a list of specific perks that are offered.
Because these goals should assist in achieving the overarching strategic objectives, the business and/or HR strategy of the organisation will have an impact on how the benefits objectives are developed. It is important to consider factors like employer size, location, industry, and collective bargaining agreements while developing the benefits objectives.
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What is a public good?
A A public good is a product or service that one consumer can prevent another consumer from using, and is not accessible without
payment
B A public good is a product or service that one consumer cannot present another consumer from using, and is accessible without
payment
C A public good is a product or service that one consumer cannot prevent another consumer from using, and is not accessible without
payment
D A public good is a product or service that one consumer can prevent another consumer from using, and is accessible without payment.
Answers
I believe your answer is B
A public good is a product or service that one consumer cannot present another consumer from using, and is accessible without payment
A very large company would be most likely to have a(n)
Blank its accounting department.
at the head of
Answers
Answer:
manager or head of accounting that makes the most sense to me
Explanation:
Which one of the following terms is defined as dividends paid expressed as a percentage of net income?
A. dividend retention ratio
B. dividend yield
C. dividend payout ratio
D. dividend portion
E. dividend section
Answers
The term defined as dividends paid expressed as a percentage of net income is C. dividend payout ratio.
Dividend payout ratio is the proportion of a company's earnings that are paid out to shareholders as dividends. It is calculated by dividing the total dividends paid by the company by its net income for the same period. The result is expressed as a percentage, which indicates the portion of earnings that the company has chosen to distribute to shareholders as dividends. The dividend payout ratio indicates the portion of earnings that a company has chosen to distribute to its shareholders as dividends instead of retaining them for reinvestment in the business. A higher dividend payout ratio indicates that the company is distributing a larger portion of its earnings to shareholders as dividends, whereas a lower ratio indicates that the company is retaining more earnings for reinvestment in the business. Investors and analysts use the dividend payout ratio as one of the measures to evaluate a company's financial health and stability. A consistently high dividend payout ratio may indicate that the company has a stable and predictable cash flow and earnings, which can be attractive to income-seeking investors. On the other hand, a low or decreasing dividend payout ratio may signal that the company is retaining earnings to fund future growth or that it is experiencing financial difficulties. It is important to note that a high dividend payout ratio may not always be sustainable in the long run, as it could limit the company's ability to invest in future growth opportunities or to weather unexpected financial challenges. Therefore, it is important to consider other financial metrics and indicators in addition to the dividend payout ratio when evaluating a company's financial health and stability.
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3. Explain the political, economic, socio-cultural, legal, and
cultural factors that could impact the sales and marketing plan of
The American Eatery "Super Donuts" in the Canadian market.
Answers
The factors that could impact the sales and marketing plan of The American Eatery "Super Donuts" in the Canadian market are explained below :Political factors: It is the responsibility of the government of Canada to oversee the establishment of new businesses in the country.
The Canadian government has the power to regulate food imports and exports in the country. The American Eatery must ensure that they adhere to the Canadian food safety regulations. Economic factors :The Canadian economy has been experiencing slow growth in recent years, and this has led to a decrease in the spending power of the average Canadian consumer. This can affect sales of Super Donuts. Socio-cultural factors: Canada is a diverse country with different cultures and religions. Some cultures in Canada may not consume certain types of food, such as pork, and it is important for The American Eatery to be aware of this. It is also important to note that some cultures may prefer sweet pastries while others may prefer savory options .Legal factors :The Canadian government has strict regulations when it comes to food labeling and packaging. The American Eatery must ensure that their products are properly labeled and meet all Canadian food safety regulations .Cultural factors :The Canadian food industry is highly competitive, and it is important for The American Eatery to understand the cultural differences that exist between Canada and the United States. They must take into consideration Canadian cuisine and adapt to the local tastes and preferences of Canadian customers.
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