Celestial Crane Cosmetics is analyzing a project that requires an initial investment of $2,750,000. The project’s expected cash flows are:


Year Cash Flow
1 $350,000
2 -125,000
3 450,000
4 425,000

Celestial Crane Cosmetics's WACC is 9%, and the project has the same risk as the firm's average project.

1. Calculate this project's modified internal rate of return (MIRR). Choose from the options given below:

a. 23.25%
b. 17.19%
c. 24.26%
d. -18.52%

2. If Celestial Crane Cosmetics's managers select projects based on the MIRR criterion, they should _ _ _ _ _ this independent project.

Answer:

The most severe constraint that anyone faces is time, the day has 24 hours, a week has 7 days and the year has 365 days. No matter how big or small a company is, time is the same for all. E.g. a factory has to build 10,000 units of good X for next week, they must do it before the due date. If the factory is shut down for any reason at all, e.g. lights go out, they will have to work overtime.

Two of the other constraints are basically related to capital: equipment and facilities. No matter how rich a person is or how big a company is, they have a certain amount of money, they cannot own it all. Only governments own machines that print money, and even they face strict regulations regarding how much money they can print. You need money to buy more equipment and build larger facilities, or if you do not have enough money, you will have to work overtime or eventually not be able to produce the output that you wanted. A facility has a certain level of maximum production, the same for a machine or equipment, and you cannot make it work over that level. E.g. a machine produces 10 units per hour, so it will not be able to produce 100 units per hour, nor 20 nor 40, not even 11.

Labor constraints refer to the total amount of labor supply available. E.g. all you need to do to understand the shortage of certain qualified labor is look at the amount of job vacancies in the high tech, computer and software industries. There are hundreds of thousands of vacant jobs around the world which cannot be filled simply because there are not enough qualified people. That is also the reason why careers in these industries are paid higher than average wages.

Answer:

ABF

Explanation:

Answer:

If this is the first time that a good is being introduced into the market or the good in question has been developed such that it is better than variants in the perfectly competitive market, it will only be sold by few firms in that market.

This shortage of supply will ensure that the price is higher than the cost of production which means that the company will be making short run positive economic profit.

With an absence of Barriers to entry in a perfectly competitive market, more companies will now be free to enter the market to sell these new goods in the long run so that they may take advantage of the positive economic profit.

This would increase the number of suppliers in the market which would reduce the price of the good till economic profits become zero.

If there were barriers to entry, the prices would remain at a point higher than costs but because other companies were able to come in, the prices reduced in the long run.

Answer:

b. Revenue minus variable cost

Explanation:

Producer surplus for a perfectly competitive firm is Revenue minus total variable cost. Option b is correct because the producer surplus is profit minus total variable cost when the fixed cost is zero and the marginal cost is increasing.

Answer:

hygiene

Explanation:

Answer:

hygiene

Explanation:

all of these involve in your personal hygiene

Answer:

a) Calculate the amount of depreciation expense that Evers should record each year of its useful life under the following assumptions. Show your workings.

(1) Straight-line method

depreciable value = $180,000 - $10,000 = $170,000 / 4 = $42,500 per year (same for each year)

(2) Double declining balance method

depreciation expense year 2014 = $180,000 x 1/4 x 2 = $90,000

depreciation expense year 2015 = $90,000 x 1/4 x 2 = $45,000

depreciation expense year 2016 = $45,000 x 1/4 x 2 = $22,500

depreciation expense year 2017 = $22,500

(3) Units-of-activity method and estimates that the useful life of machine is 125,000 units. Actual usage is as follows: 2014, 45,000 units; 2015, 35,000 units; 2016, 25,000 units; 2017, 20,000 units.

depreciation expense per unit = $170,000 / 125,000 units = $1.36

depreciation expense year 2014 = $1.36 x 45,000 = $61,200

depreciation expense year 2015 = $1.36 x 35,000 = $47,600

depreciation expense year 2016 = $1.36 x 25,000 = $34,000

depreciation expense year 2017 = $1.36 x 20,000 = $27,200

b) Which method used to calculate depreciation reports the highest amount of depreciation expense in year 1?

double declining balance

The highest in year 4?

straight line method

The highest total amount over the 4-year period?

double declining balance

Answer:

C) Classification of products

Explanation:

Advertising is not a means of classifying products.

Advertising is a commercial process of marketing goods and services to a target group of people.

[tex]\mathrm {Hey, there!}[/tex]

Let's solve your problem!

Classification of products is not a way of advertising.

Increasing market share is a way of advertising.

Acceleration of revenue is also a way of advertising.

The answer is C.

[tex]\mathrm {Best, of, Luck!}[/tex]

Answer: $‭2,710‬

Explanation:

Using the percentage of credit sales method, the bad debt expense is estimated to be a percentage of the total credit sales of the company and this is subtracted from the credit sales. Any bad debt will then be apportioned to this estimated figure.

Estimated Bad debt expense = Net credit sales * Historical percentage of credit losses

= 135,500 * 2%

= $‭2,710‬

Answer:

12.60%

Explanation:

Calculation for the estimate of the firm's cost of equity from retained earnings

Using this formula

Estimate Firm's cost of equity =Risk premium + Cost of debt

Let plug in the formula

Estimate Firm's cost of equity=3.85% + 8.75%

Estimate Firm's cost of equity= 12.60%

Therefore the estimate of the firm's cost of equity from retained earnings will be 12.60%

Answer:

Standard deviation = 47.69% (Approx)

Explanation:

Given:

Portfolio of Apple stock w1 = 25% = 0.25

Portfolio of Tesla stock w2 = 75% = 0.75

Standard deviation return Apple σ1 = 35% = 0.35

Standard deviation return Tesla σ2 = 60% = 0.60

Correlation coefficient ρ12 = 0.22

Find:

Standard deviation

Computation:

Standard deviation = √w1²σ1² + w2²σ2² + 2w1σ1w2σ2ρ12

Standard deviation = 0.4769

Standard deviation = 47.69% (Approx)

Answer:

to reinvest again since they have met their goals

Explanation:

Although there are other reasons investors may use exit strategy, however, it is often used by entrepreneurs when they determine they have made enough profit for which the business or project was started in the first place.

By moving onto another business project, entrepreneurs most likely intend to rebuild again a different project to the same level their past project did.

Answer: a. Brands enhance loyalty.

Explanation:

Brands enhance loyalty because people are more likely to identify with a symbol than with something that has a general identity. When a company has a brand therefore, it will enhance the loyalty of its consumers as they look to identify with that brand.

Take Adidas for instance, the three stripes logo is so iconic that people can sometimes have entire wardrobes of Adidas apparel to show those three stripes off and show that they identify with it. This is the benefit that Nancy stands to gain with branding.

Answer:

the options are missing, so I looked for them:

a. The buying of government bonds leads to lower interest rates, thereby reducing private investment.

b. The selling of government bonds leads to higher interest rates, thereby reducing private investment.

c. The selling of government bonds leads to lower interest rates, thereby reducing private investment.

d. The buying of government bonds leads to higher interest rates, thereby reducing private investment.

the answer is:

b. The selling of government bonds leads to higher interest rates, thereby reducing private investment.

Explanation:

The crowding out effect happens when the government increases its spending level in order to engage in an expansionary fiscal policy but someone needs to pay for this extra spending. In order for the government to finance their spending, they have to choose to either increase taxes or issue more debt. When they issue more debt, they end up decreasing private investment since money that could be used by private companies is used by the government instead.  

The right description of the crowding-out effect should be when the government bonds should be sale off.

It should arise at the time when the government raised the level of spending so the engagement to the expansionary fiscal policy should be considered. However, the same should be paid additional spending. And, for financing the spending, the selection should be done with respect to the increment of the taxes or issuing additional debt.

Therefore, the option b is correct.

Learn more about spending here: https://brainly.com/question/2542927

Answer:

profit.

Explanation: its just right

People who are typically sensible can be influenced by group dynamics to make decisions they would not have made otherwise. When certain members of a group help others overcome preconceptions, the results can be favorable.

When certain members of a group assist others in overcoming preconceptions, the results are good like Resolve problems quickly,  Develop collaboration, Build communication and Help team leaders to develop.

Thus, group dynamics play an essential role in decision making.

For further details about group dynamics, click here:

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#SPJ2

Answer:

On 1 January 2015 an American investor bought USD1, 000,000 worth of Malaysian Ringgit and put it in a savings account for 1-year is explained below with detailed explanation.

Explanation:

i) Supposed rate using IRPT

FR = SR (1+ ih) / (1+ if) = 4.45 * 1.05 / 1.035 = RM4.5145/$

At this progressive rate investment in both currencies will implement the same rate of revenue. Above this valuation, $ investment is better and below this rate, RM investment is better.

ii) Investment in MR = 1000000 * 4.45 = 4450000

valuation after a year in MR = Deposit * ( 1+ r) = 4450000 * (1 + 0.05) =  4672500

Valuation in dollar after a year = 4672500 / 4.03 = 1159429.28

rate of revenue in dollar = Valuation after a year - Valuation at year 0 / Valueation at year 0 * 100

= 1159429.28 - 1000000 / 1000000 * 100 = 15.94%

Answer: They invest in themselves. ...

They are constantly learning. ...

They're not afraid of risks.

Explanation:

Answer:

They are often independent, very confident, super committed and really want to suceed. They leave no room for failure and are not afraid to take risks, but are still careful with their decsions

Explanation:

My dad is one.

Answer:

False

Explanation:

As we know that there is an opposite relationship between the price of the bond and the market interest rate. That means if there is a rise in the market interest rate so the price of the bond decreased

And, on the other hand if there is a decrease in the market interest rate so the price of the bond is increased

hence, the given statement is false

Answer:

There are four main financial decisions- Capital Budgeting or Long term Investment decision (Application of funds), Capital Structure or Financing decision (Procurement of funds), Dividend decision (Distribution of funds) and Working Capital Management Decision in order to accomplish goal of the firm viz., to maximize

Answer:

a. Identify a cost driver associated with each activity.

Explanation:

While setting up the new activity based costing system he presently completed the identification of the activities and the cost of overhead is associated with each kind of activity

Now the next step in the activity based costing is to have a identification of the cost driver that associated with each kind of activity

Here cost driver means number of machine hours, number of machine setups, etc

Therefore the first option is correct

Answer:

B describes perfect communication. It is the most understandable.

Answer:

Option A: Increase the duration of unemployment in Canada as compared to the U.S

Explanation:

Unemployment is simply defined as the total number of people who are actively looking for work but do not currently have job (employed).

Unemployment insurance is a federally authorized, state-run program in which payroll taxes are used to pay benefits to workers laid off by companies.

Answer:

16.7

Explanation:

Answer:

Missing Word '"There is no variable selling expense; fixed selling and administrative expenses total $46,000."

Selling price per unit = 0.08

Variable cost per unit = 0.015 + 0.004 + 0.001 = 0.02

Fixed costs = 80,000 + 46,000 = 126,000

Contribution margin per unit = Selling price per unit - Variable cost per unit   = 0.08 - 0.02 = 0.06

Contribution margin ratio = Contribution margin per unit / Selling price per unit  = 0.06 / 0.08 = 0.75

a. Break-even point in units = Fixed costs / Contribution margin per unit  = 126,000 / 0.06 = 2,100,000

b. Break even point in sales revenue = Fixed costs / Contribution margin ratio  = 126,000 / 0.75 = 168,000

c. Margin of safety in units = Planned sales in units - Break even sales in units  = 2,830,000 - 2,100,000 = 730,000

d.  Margin of safety in safety in sales revenue = Planned sales - Break even sales  = (2,830,000 * 0.08) - 168,000  = 226,400 - 168,000 = 58,400

e.  Fixed costs = 80,000 + 38,800 = 118,800

- Break-even point in units = Fixed costs / Contribution margin per unit  = 118,800 / 0.06 = 1,980,000

- Break even point in sales revenue = Fixed costs / Contribution margin ratio = 118,800 / 0.75 = 158,400

- Margin of safety in units = Planned sales in units - Break even sales in units = 2,830,000 - 1,980,000 = 850,000

- Margin of safety in safety in sales revenue = Planned sales - Break even sales  = (2,830,000 * 0.08) - 158,400  = 226,400 - 158,400  = 68,000

Answer:

If Hickory Manufacturing elects to sue the United States (the IRS is a federal administrative agency) to recover the refund, it must pursue the matter:

D. in United States Tax Court, since the dispute involves a tax matter.

Explanation:

The United States Tax Court is the federal trial court of record for tax disputes. It is like a tribunal, which is inferior to the Supreme Court.  It was established by Congress, under Article I of the Constitution in 1969, to hear tax matters and adjudicate tax disputes.  Appeals are made directly, from this court, to the appeal court, before the matter can be dragged to the US Supreme Court.

Answer: focused differentiation

Explanation:

Answer:

TOTAL ASSETS$6,459,900

NET INCOME $426,900

Explanation:

Calculation for the corrected amount for total assets and net income for the year

Calculation for TOTAL ASSETS

Total assets $6,399,000

Add Ending understated inventory $60,900

TOTAL ASSETS$6,459,900

Calculation for NET INCOME

Net income of $503,000

Less Begining understated inventory ($137,000)

Add Ending understated inventory $60,900

NET INCOME $426,900

Therefore the corrected amount for total assets will be $6,459,900 and net income for the year will be $426,900

Answer:

Cost of goods sold = $270,000

Explanation:

Given:

Cost of goods manufactured = $860,000

Beginning work-in-process = $40,000

Ending work-in-process = $60,000

Beginning finished goods = $400,000

Ending finished goods inventory = $990,000

Computation:

Cost of goods sold = Cost of goods manufactured + Beginning finished goods - Ending finished goods inventory

Cost of goods sold = $860,000 + $400,000 - $990,000

Cost of goods sold = $270,000

The cost of goods sold for Branson Books in this year is $270,000.

Here, we are going to prepare the amount of the cost of goods sold for Branson Books.

Given Information

Cost of goods manufactured = $860,000

Beginning work-in-process = $40,000

Ending work-in-process = $60,000

Beginning finished goods = $400,000

Ending finished goods inventory = $990,000

Cost of goods sold = $860,000 + $400,000 - $990,000

Cost of goods sold = $270,000.

Therefore, the amount of the cost of goods sold for Branson Books is $270,000.

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Answer:

The answer is "$20906.15".

Explanation:

In the next five years, Mr. Rafiq must be due to 7000 Ahmed and in [tex]7 \frac{1}{2}[/tex] years Rs. 15000 must be due.  

Interest r = 8% semi-annually aggregated  

Hence a one-off fee only at end of 6 years is an FV fee at 5 years plus a [tex]7 \frac{1}{2}[/tex]  year payment.  

[tex]\to[/tex]Year 6 single payment[tex]= CF5 \times (1+\frac{r}{2})^{(2 \times 1)} + \frac{CF6}{(1+\frac{r}{2})^{(2\times 1.5)}}[/tex]

[tex]\to[/tex] Payment at year 6 [tex]= 7000 \times {(1+\frac{0.08}{2})}^2 + \frac{15000}{(1+\frac{0.08}{2})^3 }[/tex]

                                   [tex]= \$ \ 20906.15[/tex]

Answer:

The accounting effects of inventory sales across companies within a consolidated entity are removed when preparing consolidated financial statements because:

- usually from a consolidated statements, transactions with outside parties are only reflected.

- usually from a consolidated perspective, there is neither a sale nor a purchase has occurred.