. Capital budgeting is the process of identifying, analyzing and selecting investment
projects whose returns are expected to extend beyond one year. This capital
budgeting decision for an investment requires the analysis of some factors. a. List and explain three (3) of these factors.
b. You have an investment opportunity that requires an initial investment of GH¢5,000
today and will pay GH¢6,000 in a year’s time. If an alternative investment with similar
risk pays 25%, should you invest?
c. You will retire in 18 years and you currently have GH¢250,000 saved, and your plan is
to have GH¢1,000,000 at your retirement. What annual interest rate must you earn to
reach this goal, assuming you do not save any additional funds?
d. With practical example(s), differentiate between compounding and discounting.
e. As a Business Finance student, what is the essence of the valuation principle in your
personal life?
Answers: 2
Business, 22.06.2019 11:30, brucewayne390
Schonhardt corporation's relevant range of activity is 2,500 units to 5,500 units. when it produces and sells 4,000 units, its average costs per unit are as follows: averagecost per unitdirect materials $ 7.60direct labor $ 2.90variable manufacturing overhead $ 1.65fixed manufacturing overhead $ 2.90fixed selling expense $ 0.95fixed administrative expense $ 0.65sales commissions $ 0.75variable administrative expense $ 0.65if 4,500 units are produced, the total amount of fixed manufacturing cost incurred is closest to: multiple choicea $16,800b $11,400c $11,600d $15,400
Answers: 3
Business, 22.06.2019 15:00, Jocelynrichards
Why entrepreneurs start businesses. a) monopolistic competition b) perfect competition c) sole proprietorship d) profit motive
Answers: 1
Business, 23.06.2019 19:30, xxaurorabluexx
In what way does congress participate in checks and balances as a lawmaking authority? it raises taxes. it meets regularly with the supreme court.
Answers: 1
. Capital budgeting is the process of identifying, analyzing and selecting investment
projects who...
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