Master Business with Fun Quizzes & Brain Teasers!

U3 Company is considering three long-term capital investment proposals. Each investment has a useful life of 5 years. Relevant data on each project are as follows. Project Bono Project Edge Project Clayton Capital investment $168,000 $183,750 $202,000 Annual net income: Year 1 14,700 18,900 28,350 2 14,700 17,850 24,150 3 14,700 16,800 22,050 4 14,700 12,600 13,650 5 14,700 9,450 12,600 Total $73,500 $75,600 $100,800 Depreciation is computed by the straight-line method with no salvage value. The companys cost of capital is 15%. (Assume that cash flows occur evenly throughout the year. )1- Compute the cash payback period for each project: Bono, Edge, Clayto2- Compute the net present value for each project. 3- Compute the annual rate of return for each project. 4- Rank the projects on each of the foregoing bases. Which project do you recommend?
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The net income reported on the income statement for the current year was $290,000. depreciation recorded on equipment and a building amounted to $150,500 for the year. balances of the current asset and current liability accounts at the beginning and end of the year are as follows: end of year beginning of year cash $117,600 $135,000 accounts receivable (net) 132,500 141,100 inventories 291,900 274,300 prepaid expenses 5,600 7,100 accounts payable (merchandise creditors) 143,400 172,400 salaries payable 11,300 6,300 question content area a. prepare the cash flows from (used for) operating activities section of the statement of cash flows, using the indirect method. use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments.
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Consider a market with two firms, Kellogg and Post, that sell breakfast cereals. Both companies must choose whether to charge a high price ($5. 00 ) or a low price ($3. 50 ) for their cereals. These price strategies, with corresponding profits, are depicted in the payoff matrix to the right. Kellogg's profits are in red and Post's are in blue. What is the cooperative equilibrium for this game? A. The cooperative equilibrium is for Kellogg to choose a price of $3. 50 and Post to choose a price of $5. 0. B. The cooperative equilibrium is for Kellogg and Post to both choose a price of $3. 50. C. The cooperative equilibrium is for Kellogg and Post to both choose a price of $5. 0. D. A cooperative equilibrium does not exist for this game. E. The cooperative equilibrium is for Kellogg to choose a price of $5. 00 and Post to choose a price of $3. 50
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The september 30 bank statement for bennett company and the september ledger account for cash are summarized here: bank statement checks deposits balance balance, september 1 $ 6,800 deposits recorded during september $ 26,150 32,950 checks cleared during september $ 26,950 6,000 nsf checksbetty brown 130 5,870 bank service charges 55 5,815 balance, september 30 5,815 cash (a) sept. 1 balance 6,800 sept. checks written 29,450 sept. deposits 28,500 no outstanding checks and no deposits in transit were carried over from august; however, there are deposits in transit and checks outstanding at the end of september. required: 1. reconcile the bank account. 2. prepare the journal entries that should be made as the result of the bank reconciliation. 3. what should the balance in the cash account be after the reconciliation entries? 4. what total amount of cash should the company report on the september 30 balance sheet?
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Angela, inc., holds a 90 percent interest in corby company. during 2020, corby sold inventory costing $87,100 to angela for $134,000. of this inventory, $57,200 worth was not sold to outsiders until 2021. during 2021, corby sold inventory costing $115,500 to angela for $210,000. a total of $63,000 of this inventory was not sold to outsiders until 2022. in 2021, angela reported separate net income of $174,000 while corby's net income was $132,000 after excess amortizations. what is the noncontrolling interest in the 2021 income of the subsidiary
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In addition to brazil, russia, india, and china, identify three other emerging markets that make sense for international business growth. why?
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Prepare tiker company's journal entries to record the following transactions and the adjusting entry to record the fair value of the stock investments portfolio. this is the first and only time the company purchased such securities. may 9 purchases 440 shares of higo stock as a short-term investment at a cost of $49 per share. tiker has insignificant influence over higo. june 2 sells 200 shares of its investment in higo stock ($9,800 cost) at $52 per share. december 31 the closing market price (fair value) of the higo stock is $47 per share.
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The segment margin represents the ______. a. margin available to cover fixed costs b. margin available after a segment has covered all of its own costs c. margin remaining after traceable and common fixed costs have been deducted d. excess of the segment revenue over the segment cost of goods sold
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Wheel rims, tires, and hubs are major components making up part of the axle end or, what the trucking industry calls the wheel____________.
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The ________ system encourages innovation by creating a powerful financial reward for creativity.
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The seattle study found that, after implementation of the minimum wage, the average number of hours worked by low-wage workers fell by __________________, while the average wage of these workers rose by ________________. as a result, the average income of low-wage workers ______________ .
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R07.cotmarlorations - el3401click this link to view o*net's tasks section for loading machine operators. note that common tasks are listedtoward the top, and less common tasks are listed toward the bottom. according to o'net, what are some commontasks loading machine operators perform? select four options.operating levers to move conveyor booms or shovelsrepairing broken oil pipelines in emergenciesmoving trailing electrical cables clear of obstructions, using rubber safety glovesprying off loose material from roofs, and moving it into the paths of machines, using crowbarsplanning, researching, and designing machinery for automating tasksdriving machines into piles of materialintrodone
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Sean is an economics student and preparing to give a slideshow presentation to hiseconomics class focused on various economic laws. The first law that he will bediscussing has to do with producers offering more of a good or service as the pricerises. Based on this, what did Sean MOST likely use for the title of this slide?
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Identify each of the following as: (i) part of an expansionary fiscal policy, (ii) part of a contractionary fiscal policy, or (iii) not part of fiscal policy. A. The corporate income tax rate is increased. This is part of an expansionary fiscal policy part of a contractionary fiscal policy not part of fiscal policy. B. Defense spending is increased. This is part of an expansionary fiscal policy part of a contractionary fiscal policy not part of fiscal policy. C. The Federal Reserve lowers the target for the federal funds rate. This is part of an expansionary fiscal policy part of a contractionary fiscal policy not part of fiscal policy. D. Families are allowed to deduct all their expenses for daycare from their federal income taxes. This is part of an expansionary fiscal policy part of a contractionary fiscal policy not part of fiscal policy. E. The individual income tax rate is decreased. This is part of an expansionary fiscal policy part of a contractionary fiscal policy not part of fiscal policy
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Big data sets, when compared with most databases and data warehouses: group of answer choices have more metadata have higher possibility of different interpretations need less explorative and experimental approaches to yield value are not as likely to benefit from visualization have equal amount of metadata?
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Activists formed the populist party most directly in response to the growth of corporate power in agriculture and economic instability in farming:___________ a: growth of corporate power in agriculture and economic instability in farming a emergence of concerns about abuses of the environment b: emergence of concerns about abuses of the environment b development of reform movements inspired by the second great awakening c: development of reform movements inspired by the second great awakening c rise of monopolies and reduction of wages for industrial workers
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What ethical choices did dr muehlhoff make in his conversation with jenna hiller about the relevance of ethics to communication
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Drag each scenario to the correct strategy for delivering a negative message.a company wants to inform along-term vendor that itsservices are failing tomeet quality standards.a condominium manager issending the sixth reminderto a resident to pay her dues.a hospital must inform its staff thatit is closing.a web security firm has to alert aclient about a security breach.an airline has to downgrade apassenger's booking from firstclass at short notice.a dairy company must notifycustomers about a 1 percentprice increase.direct strategy or indirect strategy
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Suppose you think Apple stock is going to appreciate substantially in value in the next year. Say the stocks current price, S0, is $120, and a call option expiring in one year has an exercise price, X, of $120 and is selling at a price, C, of $18. With $14,400 to invest, you are considering three alternatives. A. Invest all $14,400 in the stock, buying 120 shares. B. Invest all $14,400 in 800 options (8 contracts). C. Buy 100 options (one contract) for $1,800, and invest the remaining $12,600 in a money market fund paying 6% in interest over 6 months (12% per year)
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Question 3 (1 point)Betty has a degree in wildlife conservation. She is passionate about preservinghabitats for endangered animals. What kind of company might want to hire Betty?a farm in need of a dairy managera bald eagle sanctuary looking for a rangera pesticide company in need of a marketing persona local food truck looking for a chef
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module 3 forecasting and contracts summary
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On may 1, 2020, mosby company received an order to sell a machine to a customer in mexico at a price of 2,000,000 mexican pesos. the machine was shipped, and payment was received on march 1, 2021. on may 1, 2020, mosby purchased a put option giving it the right to sell 2,000,000 mexican pesos on march 1, 2021 for $190,000 (strike price of $0.095 per pesos). mosby company properly designates the option as a fair value hedge of the mexican pesos firm commitment. the option cost $3,000 and had a fair value of $3,200 on december 31, 2020. since the hedge instrument being used is a put option, keefer has chosen to measure the change in the fair value of the commitment through reference to changes in the spot rate. mosby's incremental borrowing rate is 12 percent, and the present value factor for two months at a 12 percent annual rate is 0.9803.required:what was the impact on mosby's 2013 net income as a result of this fair value hedge of a firm commitment?
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You want to be able to withdraw $25,000 from your account each year for 20 years after you retire. you expect to retire in 15 years. if your account earns 5% interest, how much will you need to deposit each year until retirement to achieve your retirement goals
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Assume that you are currently profitable, but you are hearing rumblings that your corporate parent is in some financial trouble. you came into this role 3 months ago and you are winning awards for customer satisfaction (one of the key measurements is how long customers have to wait for a car). you have done some market study and found that customers will continue to provide superior feedback on satisfaction as long as they dont have to wait any longer than 30 minutes for the car of their choice. likewise they will give poor feedback if they have to wait over an hour.each hmv costs $10,000 per year to have in the fleet when factoring in depreciation, maintenance, and amortized purchase price. corporate leadership has stated clearly that they need at least $500,000 per year more profit to stay viable as a company, and they have asked you to help identify savings. more savings could lead to a promotion, but only if you are able to maintain customer satisfaction levels.required:a. lay out a plan that saves the company at least $500,000 but maintains customer satisfaction levels in the coming year.b. what is the very best you can do and keep wait times under an hour? aside from change the number of vehicles what else would you do to impact performance?
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