Diversification reduces the risk of an investment portfolio by spreading investments across different assets and can stabilize returns, leading to a more balanced risk-return profile.
Diversification is an investment strategy aimed at reducing risk by spreading investments across different assets. The theory behind diversification is that by investing in a range of assets, the investor can reduce the risk associated with any single asset.
Diversification can help to mitigate risk and stabilize returns by reducing the impact of market volatility on the portfolio. By investing in assets that are not highly correlated, the portfolio is less likely to be affected by sharp declines in any one asset class. This helps to reduce the risk of the portfolio and create a more stable investment return over the long term.
However, diversification is not a guarantee against loss, and some investments may still suffer losses. It is important to balance the level of diversification in the portfolio with the investment objectives, risk tolerance, and other factors.
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what are the similarities of vision, mission, goal amd objective
BALACE OF PAYMENT QUESTIONS AND ANSWERS
Alice will be paid the amount of $868.7 interest in the loan at the end of one year.
What is the balance about?The formula to calculate interest is:
Interest = P x R x T
P = Principal
R = Rate
t = Time
Therefore, from the question:
Principal = $24,820
Rate = 3.5% per year
Time = 1 year
Then put the value into the equation and it will be:
Interest = $24,820 x 0.035 x 1
Interest = $868.70
Hence Alice will be paid the amount of $868.7 interest in the loan at the end of one year.
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An example of balanace of payment question is given below
Alice has a loan of $24,820. This loan has a simple interest rate if 3.5% per year. No payments will be kade on the loan until the end if the year. how much interest will alice pay in this loan at the end of one year?
When you create your brand, you should consider:
SELECT ALL THAT APPLY
- Logo
- Marketing Budget
- Fonts
- Social Media Handles
- Colors
HELPPPP ASAPPP!!!!! Have you ever wanted to propose a business idea, service, or product? If you were to run your own business, what would it be? How would you persuade potential buyers that your product or service was worth their time and money?
To persuade buyers that my product is worth their resources, I would focus on building trust and showcasing the value my business brings to their lives.
How can I build trust and showcase value to potential buyers?To build trust, I would likely prioritize transparency and honesty in all my interactions with customers which would include being clear about what my product or service can and cannot do and making sure that I am always delivering on my promises.
I would also make sure that my business has a strong online presence with a well-designed website and active social media accounts where customers can easily find information about my product or service.
To showcase value my business brings, I would highlight unique benefits of my product and provide evidence of its effectiveness through customer testimonials and case studies.
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Assume that china experience significant inflation compared to the US. In general, explain what would likely happen to the financial accounts
To increase available capital, Bengal issued 1,000 bonds with a stated interest rate of 5% and face value of $10,000 per bond. The bonds will make monthly interest payments at the end of each month and mature in 5 years. The market rate of interest for similar bonds at the time of issuance was 6%. Calculate the bond issuance price, and record the sale/issuance of all 1,000 bonds.
Record the first interest payment made on the bonds issued in this transaction.
The bond issuance price will be $8,530.46. To record the sale or issuance of all 1,000 bonds, debit Cash for $8,530.46 and credit Bonds Payable for $10,000,000 and the difference of $1,469,540 would be credited to the Discount on Bonds Payable account.
A bond, like an IOU, is a debt security. Borrowers create bonds to raise funds from investors who are ready to lend them money for a set period of time.
To calculate the bond issuance price, we can use the present value formula:
PV = FV / (1 + r/n)^(n*t)
where PV is the present value of the bond or the issue price of the bond, FV is the face value of the bond, r is the annual interest rate, n is the number of compounding periods per year, and t is the number of years until maturity.
Given,
FV = $10,000,
r = 6%,
n = 12 (since the interest payments are monthly), and t = 5 years.
PV = $10,000 / (1 + 0.06/12)^(12*5)
= $8,530.46
To record the first interest payment made on the bonds issued, debit Interest Expense for $42,652.30 (which is 1/12 of the annual interest rate of 5% multiplied by the face value of $10,000,000) and credit Cash for $83,333.33 (which is 1/12 of the face value of $10,000,000 multiplied by the annual interest rate of 5%).
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Suppose you purchase a 9-year AAA-rated Swiss bond for par that is paying an annual coupon of 8 percent and has a face value of 1,200 Swiss francs (SF). The spot rate is U.S. $0.66667 for SF1. At the end of the year, the bond is downgraded to AA and the yield increases to 10 percent. In addition, the SF depreciates to U.S. $0.74074 for SF1.
a. What is the loss or gain to a Swiss investor who holds this bond for a year?
b. What is the loss or gain to a U.S. investor who holds this bond for a year?
Given, a 9-year AAA-rated Swiss bond for par that is paying an annual coupon of 8 percent and has a face value of 1,200 Swiss francs (SF). The spot rate is U.S. $0.66667 for SF1. At the end of the year, the bond is downgraded to AA and the yield increases to 10 percent. In addition, the SF depreciates to U.S. $0.74074 for SF1.
The explanation is
SWISS BOND
FV. 2600
Year 9
Coupon 5%
After a year
YTM 7
Year 8
Pv of bond 2600
FV. 2600 (PO)
YEAR. 9
COUPON 5%
AFTER A YEAR
YTM 7%
YEAR 8
PV OF BOND $2,289.49 (P1)
C1-COUPON 2600 X 5%-130
AS BOND PRICE HAS COME DOWN, THERE WILL BE A LOSS TO SWISS INVESTOR
LOSS TO INVESTOR [P1+C1-PD)-(2289.49 +130-2600) - LOSS TO INVESTOR (%)-(P1+C1-PO)/PO 100
LOSS TO INVESTOR (2289.49+130-2600)/2600*100 -6.94%
SPOT RATE 0.66667
AFTER A YEAR
RATE 0.74074
2600 X 0.66667- 2289.49 X 0.74074- 1733.34 1695.92
VALUE OF BOND IN S (PO) - VALUE OF BOND INS (P1)= COUPON-130 X 0.74074- 96.30
PROFIT/LOSS TO US INVESTOR
(P1+C1-PO)-(1695.92+96.30-1733.34)= 58.88
PROFIT
PROFIT/LOSS TO US INVESTOR (P1+ C1-PO)/PO*100 PROFIT/LOSS TO US INVESTOR(1695.92+96.30-1733.34)/1733.34*100 3.40%
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How might an increase in the quantity and size of data breaches affect CrowdStrike’s revenue?
Comparable to how Salesforce is a market-defining SaaS firm in CRM, CrowdStrike says it's a SaaS company that defines the security category.
The business currently sells at the higher half of its typical PS range since it is currently valued at a sales multiple. As opposed to most legacy firms, CrowdStrike has a strong plan for preventing security breaches and a feeble one for preventing malware.
The first cloud-native security software that concentrated on preventing intrusions was developed as an early adopter in the market. The business of CrowdStrike is shielded from competition by a number of strong moats. CrowdStrike has unveiled a number of fresh offerings to set itself apart from rivals.
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Differentiate a regular savings account from a CD, a money market fund, and a money market deposit account.
Savings accounts, money market accounts, and CDs all have different interest rates, limits, benefits, fees, and risk levels. Furthermore, a savings or money market account may be appropriate for short-term savings, whilst a CD is better suited for long-term savings.
Savings accounts, money market accounts, and CDs are all viable options for putting money aside and seeing it grow. These three types of accounts are similar in appearance, yet they function differently and may serve different purposes.
CDs are deposit accounts similar to savings and money market accounts that are offered from banks and credit unions. Both money market funds and CDs provide higher interest rates than ordinary savings accounts.
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Nurturing your loyal customers is a good idea because they are more likely to:
A) leave negative reviews
B) refer their friends and family
C) ask about your marketing strategy
D) increase your cost per lead
1. Identify the controlling tools described.
Method of maintaining the appropriate number of parts and goods in storage in order to prevent shortages, overstocks, and other costly issues.
2. Identify the controlling tools described.
Process of ensuring reporting accuracy, preventing fraud, and safeguarding the organization's physical and intangible assets.
Inventory control is the controlling tool described in the first scenario and internal control is the controlling tool described in the second scenario.
What is inventory control?Inventory control is the process of managing and maintaining the right level of inventory for a business, in order to prevent stock shortages, overstocking, and associated costs. It involves monitoring inventory levels, ordering and receiving goods, and keeping track of inventory movements and changes.
Internal control is a system of policies, procedures, and practices established within an organization to ensure that its operations are conducted in an orderly and efficient manner, its financial information is reliable, and it complies with applicable laws and regulations. The goal of internal control is to minimize risks and prevent or detect errors, fraud, or other irregularities that could have a significant impact on the organization.
Therefore, inventory control is the controlling tool described in the first scenario and internal control is the controlling tool described in the second scenario.
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Need help with 1.) to 2.) calculations
The monthly profits at maximum capacity is $3,600,000
The Break-even revenue is $2,400,000
What is the change in prices about?a) Total revenue at maximum capacity = selling price x maximum capacity
= $20 x 180,000 units
= $3,600,000
Total variable costs at maximum capacity = variable cost per unit x maximum capacity
= $15 x 180,000 units
= $2,700,000
Note that Total fixed costs = $600,000
Hence, Monthly profit at maximum capacity = total revenue - total variable costs - total fixed costs
= $3,600,000 - $2,700,000 - $600,000
= $300,000
b) Break-even quantity:
Break-even quantity = fixed costs / contribution per unit
Contribution per unit
= $20 - $15
= $5
Break-even quantity
= $600,000 ÷ $5
= 120,000 units
c) Break-even revenue = break-even quantity x selling price
= 120,000 units x $20
= $2,400,000
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Student workpoint 3.8
Be a thinker
XYZ Ltd has the capacity to produce 180,000 units of its key product per month. The fixed costs amount to $600,000 per month, while the variable costs are $15 per unit. The selling price for each product is $20.
1. Calculate the:
a) monthly profits at maximum capacity
20 -15
b) break-even quantity 000, 000/2015)=120000
c) break-even revenue.
The distinction between Buddhist practices and non-Buddhist practices is straightforward.
A.False. Unlike other religions, Buddhist practices are hard to separate from other cultural practices.
B. False. Like other religions, Buddhist practices blends with other cultural practices.
C. True. If a practice aims at solving the problem of suffering, then it is Buddhist
Buddhist practices are primarily concerned with meditation and mindfulness.
A. False. Buddhist practices also involve worshiping the Buddha.
B. True. Changing one's outlook on life is primarily attained by practicing meditations and mindfulness.
C. False. Buddhist practices are broad ranging.
The distinction between Buddhist practices and non-Buddhist practices is straightforward is False. Unlike other religions, Buddhist practices are hard to separate from other cultural practices. The correct option is A.
Buddhism has some unique traits that set it apart from other cultures practices, but it has also influenced and been influenced by other cultures and religions. Because of this splitting Buddhist practices from those of other religions can be difficult. Even though Buddhist practices frequently aim to address the problem of suffering, it is important to keep in mind that there are different approaches to this goal within Buddhism.
While some schools of Buddhism place a greater attention on the growth the of kindness and compassion through meditation and other practices, others stress the importance of meditation as a means of developing wisdom and insight. The correct option is A.
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Describe the characteristics of stocks and their expected behavior relative to the market.
Answer:
A bull market is a market that is on the rise and where the conditions of the economy are generally favorable. A bear market exists in an economy that is receding and where most stocks are declining in value. Because the financial markets are greatly influenced by investors' attitudes, these terms also denote how investors feel about the market and the ensuing economic trends.
A bull market is typified by a sustained increase in prices. In the case of equity markets, a bull market denotes a rise in the prices of companies' shares. In such times, investors often have faith that the uptrend will continue over the long term. In this scenario, the country's economy is typically strong and employment levels are high.
By contrast, a bear market is one that is in decline. A market is usually not considered a true "bear" market unless it has fallen 20% or more from recent highs. In a bear market, share prices are continuously dropping. This results in a downward trend that investors believe will continue; this belief, in turn, perpetuates the downward spiral. During a bear market, the economy slows down and unemployment rises as companies begin laying off workers
Write a management report on global business strategy of Adidas that includes following points:
• Introduction and background
• Challenges faced, major actions taken or events in the external environments of Adidas in past 2-3 years.
• focus on responses to the challenges and an assessment of the company’s internal environments to confirm the capability of the company to deal with the challenges.
• Brief some specific courses of action for Adidas as recommendations to continue or promote growth and development.
Also add at least 15 references in Harvard referencing style with citations within the report.
Answer: With sport playing an increasingly important role in more and more people’s lives, both on and off the field of play, we operate in a highly attractive industry. Based on the authenticity of the Adidas brand and our constant efforts to understand our consumers’ needs, we aim at capitalizing on the acceleration of favorable long-term structural trends by pushing the boundaries of products, experiences, and services.
Since the creation and launch of our ‘Own the Game’ strategy, the economic and political environment we operate in has significantly changed. Macroeconomic challenges as well as geopolitical tensions have hurt our business, our consumers, and our business partners. Paving the way for a restart, Bjørn Gulden joined Adidas as new CEO in January 2023. In this context, we are currently conducting a thorough strategic review, which also includes the financial ambition for 2025. We will provide an update on the outcome of this review in the course of the second half of 2023 and, in the meantime, continue to diligently execute our functional priorities.
Managing the environmental impacts at our sites and along the entire value chain is a key focus of our work. We are committed to decarbonization by reducing our absolute energy consumption and CO2e emissions as well as transitioning to clean energy. We are also committed to steadily increasing the use of more sustainable materials in our products and expanding our circular services. We continue to address water efficiency and quality, with an advanced chemical management program in place.
Explanation:
For a better grade please add more, I have a timer of 15 minutes to write an answer. This is a help.
A disadvantage of a partnership is that of ‘mutual agency’ which means:
Select one:
each partner must contribute the same capital and skills to the partnership.
each partner has the right to enter into contracts on behalf of the partnership.
each partner has limited liability for the debts incurred on a contract entered into by any other partner.
only the partner with the highest cash contribution has the right to enter into contracts on behalf of the partnership.
Answer:
each partner has the right to enter into contracts on behalf of the partnership. i think
The following information concerns production in the
Baking Department for March. All direct materials are placed in process at the beginning of production. ACCOUNT Work in Process—Baking Department ACCOUNT NO. Date Item Debit Credit Balance Debit Credit Mar. 1 Bal., 32,800 units, 1⁄4 completed 29,520 31 Direct materials, 604,000 units 483,200 512,720 31 Direct labor 110,180 622,900 31 Factory overhead 165,022 787,922 31 Goods finished, 594,200 units 742,340 45,582 31 Bal. ? units, 3⁄5 completed 45,582 a. Based on the above data, determine each cost listed below. Round "cost per equivalent unit" answers to the nearest cent. 1. Direct materials cost per equivalent unit $fill in the blank 1 0.8 2. Conversion cost per equivalent unit $fill in the blank 2 3. Cost of the beginning work in process completed during March $fill in the blank 3 4. Cost of units started and completed during March $fill in the blank 4 5. Cost of the ending work in process $fill in the blank 5 b. Assuming that the direct materials cost is the same for February and March, did the conversion cost per equivalent unit increase, decrease, or remain the same in March?
To find the different costs per equivalent unit, we first need to determine the equivalent units for both direct materials and conversion costs. Each cost per unit can then be calculated using the respective total cost and equivalent units. As for the change in conversion cost per equivalent unit, we can't determine it without knowing February's data.
Explanation:The calculation for the associated costs are dependent on the equivalent units which are used to distribute costs between completed and unfinished units. First we need to determine equivalent units, then we can solve for the various costs per unit mentioned in the question. The equivalent units for direct materials are the number of units started in production, that is 604,000 units, and for conversion costs (Direct Labor+Factory Overhead), it will be the completed units(594,200) and 3/5th of the unfinished goods.
Direct materials cost per equivalent unit = Total Direct material cost/ total units started = 483,200/604,000 = $0.8 per unitConversion cost per equivalent unit= Total conversion cost/ total equivalent units for conversion;The beginning work in progress completed during March = beginning WIP + [(1- beginning % completion)*beginning cost per equivalent unit];The cost of units started and completed during March = Units started and completed * sum of all costs per unit;The cost of the ending work in process = ending units * cost per unit (Remember, this will be different for materials and conversion).In terms of whether the conversion cost per equivalent unit increased, decreased, or remained the same, we'd need to know the cost and percentage completion data for February. Since we do not have that available, it's not possible to determine.
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The personal traits now considered important for managerial success include ______________.
a. self-confidence
b. character reference
c. caring
d. always present
When an operator acts on one operand, it is called a (what)
operator?
Jesse has a good job and pays off his one credit card every month. He was surprised that when he applied for a loan to buy a car, he was rejected. Explain the steps the he should take to check his credit report for errors. How can he resolve any errors that he discovers?
It should be remembered that a credit report is just a record of a borrower's payments. When Jesse discovers the problem in his credit report, he needs to notify the credit reporting agency in writing.
A credit report is a document that contains details on your credit history, credit use, and other aspects of your credit behavior and circumstances. You should be able to check your credit score by going into your account online or looking over your monthly statement if your bank or credit card provider gives free credit ratings.
You may view your credit score or report for free using other services as well. Creditors such as lenders, credit card issuers, and other financial institutions send financial information about you to credit reporting firms, commonly referred to as credit bureaus or consumer reporting agencies, who then collect and store it.
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George came up with a secret banana bread recipe that he sells in his bakery. Which intellectual property law would best protect his recipe?
The intellectual property law that would best protect George's secret banana bread recipe is trade secret law. Trade secret protection is based on keeping information confidential, rather than registering it. Examples include Coca-Cola's secret recipe.
Explanation:The intellectual property law that would best protect George's secret banana bread recipe is trade secret law. Trade secret law protects confidential information that gives a business a competitive advantage and is kept secret. In this case, George's recipe is his trade secret.
Unlike patents, trademarks, or copyrights, trade secrets do not require any registration or governmental filings. The recipe remains protected as long as it is kept confidential and not disclosed to the public. Trade secret protection can last indefinitely, as long as the information remains a secret.
For example, Coca-Cola's formula, which is a closely guarded secret, is protected under trade secret law. Other companies may use different ingredients, but they do not have access to the exact recipe and process used by Coca-Cola.
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jamie asks, "what are the latest trends in the stock market?" in other words, jamie is asking...
Answer:
Jamie is asking about the current developments, movements, and changes in the stock market that have been observed over a recent period of time. Specifically, Jamie is interested in knowing the latest trends that are influencing the performance of the stock market. This may include changes in the prices of stocks, the direction of the market, the sectors that are performing well, and other factors that are affecting the overall performance of the stock market.
Explanation:
no answer choices so this is the best I can help you
Axei plc, a leading producer of quality cements in Ghana has recently identified a positive not present value project.As a financial advisor of the company, you think the company needs to sell bonds in order to raise the needed money to excute the project.Concisely and unambiguously, Discuss the steps and process the company has to go through in order to sell bonds in Ghana
To sell bonds in Ghana, Axei plc must follow certain steps and processes. First, the company needs to appoint an issuing house, which is a licensed broker-dealer, to manage the bond issuance.
The issuing house will then conduct due diligence on the company to determine its creditworthiness and structure the bond issue.
Next, Axei plc will prepare a prospectus detailing the terms and conditions of the bond issue, including the amount of the bond, the interest rate, and the repayment schedule. The prospectus will be filed with the Securities and Exchange Commission (SEC) for approval.
Once approved,Axei plc the bond issue will be marketed to potential investors through roadshows and other promotional activities. Investors will then subscribe to the bond issue through the issuing house.
Finally, once the bond issue is fully subscribed, Axei plc will receive the proceeds and use them to finance the identified project. The company will then make periodic interest payments to bondholders until the bond matures and the principal is repaid.
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Employees who coordinate training activities are managed by John. He requires registrants to be notified within two weeks of the start date if a training program is canceled due to low enrollment. Mike, one of John's staff, is still notifying attendees under the two-week mark despite an alert and a time of retraining. John has agreed to issue Mike a final written notice and inform him that if he does not change, he will be fired. This is an example of which phase of the controlling process?
A. Establish Objectives and Standards
B. Measure Actual Performance
C. Compare Results with Objectives and Standards
D. Take Corrective Action
This is an example of taking the Corrective Action phase of the controlling process. The correct option is D.
What is the importance of control in an organization?Organizational control plays a crucial role in identifying mistakes and deviations from norms so that corrective measures can be done to attain objectives. Ensuring that a particular task is carried out in accordance with predetermined criteria is the goal of organizational control.
An employee may get verbal or written communications from you that are intended to help the employee address the "problem" or concern, such as performance, attendance, or conduct. removing the root of nonconformity and preventing recurrence. Action is taken in advance to stop a potential nonconformity or other undesirable situation from happening.
Any type of Correction is detected by controlling, and appropriate corrective measures are then put in place. By doing so, it makes it easier to achieve organizational goals by closing the gap between expected and actual performance.
Thus, the ideal selection is option D.
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Today is the last day of the month and you have yet to meet your sales goal. While your goal is still
within reach, you have not been able to close any sales today and are beginning to fear that you won't
be able to meet your goal. What would you mostly do and least likely do?
Answer:
All I can do at that particular moment is just to try and identify the reason why I wasn't able to achieve that goal and create a more better plan so that such won't repeat itself again
Explanation:
what I am trying to say is that I will try and meet my manager and my colleagues for advice and also think of what to do then I am going to join everything together and create a better plan so such won't repeat itself
(i) Janday Corporation's after-tax cash inflows (ATCI) are time dependent, so that year I i'esults (ATCI, ) affect the flows in year 2 (ATCI, ) as follows:
The project should not be undertaken by the Janday Corporation it will be incurred by the details that have been given.
The cash flow that will be expected after a year will be:
Probability * cashflow
= 120000 *0.4 + 225000 *0.5 + 300000*0.1
= 190500
The NPV will be determined as:
NPV = -300000 + 190500/(1.12)
= -129910.71
The Profitability Index will be calculated as:
Profitability Index = 1 + NPV /initial investment
= 1 + ( -129910.71/3000000)
= 0.96
As NPV < 0 and the profitability index is determined to of a value of less than 1 project should not be taken.
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The question is incomplete, Complete question probably will be:
General Electronics Company Limited after-tax cash inflows (ATCI) are time dependent which means that First Year's results (ATCI) affect the cash flows of the Second Year as follows:
If After Tax Cash Inflow for the 1st year is 120,000 with 40% probability, After Tax Cash Inflow for the
If After Tax Cash Inflow for the 1st year is 225,000 with 50% probability, After Tax Cash Inflow for the
If After Tax Cash Inflow for the 1st year is 300,000 with 10% probability, After Tax Cash Inflow for the
Required:
The project requires an initial investment of Rs. 300,000 and the risk-free rate of return after tax is 12%. Calculate Net Present Value of the project, its NPV Index and advise whether the project should be undertaken or not?
A large tank holds 1.7 x 107 gallons of oil. How much oil can be stored in 7 tanks? Write your answer in scientific notation.
Answer
17000000
Explanation:
it can hold 17000000 gallons of oil hope this can help
Nu-Concepts, Inc., a southeastern advertising agency, is considering the purchase of new computer equipment and software to enhance its graphics capabilities. Management has been considering several alternative systems, and a local vendor has submitted a quote to thc company of $15,000 for the equipment plus $16,800 for software. Assume that the equipment can be depreciated for tax purposes over three years as follows: year 1, $5,000; year 2, $5,000; year 3, $5,000. The software can be written off immediately for tax purposes. The company expects to use the new machine for four years and to use straight-line depreciation for financial reporting purposes. The market for used computer systems is such that Nu-Concepts could sell the equipment for $2,000 at the end of four years. The software would have no salvage value at that time Nu-Concepts management believes that the introduction of the computer system will enable the company to dispose of its existing equipment, which is fully depreciated for tax purposes. It can be sold for an estimated $200 but would have no salvage value in four years. If Nu-Concepts does not buy the new equipment, it would continue to use the old graphics system for four more years. Management believes that it will realize improvements in operations and benefits from the computer system worth per year before taxes. Nu-Concepts uses a 10 percent discount rate for this investment and has a marginal income tax rate of 40 percent after considering both state and federal taxes. a. Prepare a schedule showing the relevant cash flows for the project. b. Indicate whether the project has a positive or negative net present value.
a. Schedule of Relevant Cash Flows:
| Year | Cash Inflows | Cash Outflows | Depreciation | Tax Shield | Net Cash Flow |
|------|-------------|--------------|-------------|------------|---------------|
| 0 | - | $15,000 | - | $6,000 | -$9,000 |
| 1 | $5,000 | $5,600 | $5,000 | $2,000 | -$2,600 |
| 2 | $5,000 | $5,600 | $5,000 | $2,000 | -$2,600 |
| 3 | $5,000 | $5,600 | $5,000 | $2,000 | -$2,600 |
| 4 | $2,000 | $5,600 | $- | $- | -$3,600 |
| Total| $17,000 | $37,000 | $20,000 | $12,000 | -$8,000 |
b. Calculation of Net Present Value:
NPV = -Initial Investment + Present Value of Cash Flows
NPV = -$9,000 + [$2,600/(1+0.1)^1] + [$2,600/(1+0.1)^2] + [$2,600/(1+0.1)^3] + [$3,600/(1+0.1)^4]
NPV = -$9,000 + $2,363 + $1,933 + $1,590 + $2,106
NPV = $992
Since the NPV is positive, the project has a positive net present value and would be considered a good investment for Nu-Concepts, Inc.
In the customer loyalty life cycle, the customer has a want or need, then considers different purchasing options. What step comes next?
In the customer loyalty life cycle, the customer has a want or need, then considers different purchasing options. The next step is that the customer chooses a buying option—either in a store or online.
What is buying option in customer loyalty life cycle?Buying option occurs when customer decides to purchase a product from a company for the first time. It is an important stage in developing customer loyalty because it provides opportunity to make a positive impression on the customer.
Companies can use strategies during this stage to ensure that customers have a positive experience and are more likely to become loyal. These strategies may be exceptional customer service, offering discounts or promotions or providing additional resources or support to the customer.
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Which of these sets of characteristics does a company have?
Select one:
Owners have shared control and unlimited liability.
Difficulty raising funds, owners have full control.
Separate legal entity and owners have limited liability.
Simple to set up and mutual agency.
Answer:
Separate legal entity and owners have limited liability. I think