Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Financial Accounting Expert

problem1. Which one of the following is project acceptance indicator given independent project with investing type cash flows?

A. Profitability index less than 1.0

B. Project's internal rate of return less than required return

C. Discounted payback period greater than requirement

D. Average accounting return that is less than the internal rate of return

E. Modified internal rate of return which exceeds the required return

problem2. When a firm accepts Project A it will not be possible to also accept Project B because both projects would need the simultaneous and exclusive use of same piece of machinery. These projects are considered to be:

A. Independent

B. Interdependent

C. Mutually exclusive

D. Economically scaled

E. Operationally distinct

problem3. A project has required payback period of 3 years. Which one of the following statements is right concerning the payback analysis of this project?

A. The cash flows in each of the 3 years should exceed one-third of the project's initial cost if the project is to be accepted.

B. The cash flow in year 3 is ignored.

C. The project's cash flow in year 3 is discounted by a factor of (1 + R) 3.

D. The cash flow in year two is valued just as highly as the cash flow in year 1.

E. The project is acceptable if the payback period exceeds 3years.

problem4. Southern Chicken is considering 2 projects. Project A comprises creating an outdoor eating area on the unused portion of restaurant's property. Project B would employ that outdoor space for creating a drive-thru service window. When trying to decide which project to accept, the firm must rely most heavily on which one of the following analytical methods?

A. Profitability index

B. Internal rate of return

C. Payback

D. Net present value

E. Accounting rate of return

problem5. Kristi desires to start training her most junior assistant, Amy, in art of project analysis. Amy has just started college and has no background or experience in business finance. To get her started, Kristi is going to consign the responsibility for all projects that have initial costs less than $1,000 to Amy to analyze. Which technique is Kristi most apt to ask Amy to use in making her initial decisions?

A. Discounted payback

B. Profitability index

C. Internal rate of return

D. Payback

E. Average accounting return

Financial Accounting, Accounting

  • Category:- Financial Accounting
  • Reference No.:- M93978

Have any Question? 


Related Questions in Financial Accounting

Assignment non-for-profit financial reporting reviewselect

Assignment: Non-for-Profit Financial Reporting Review Select one not-for-profit organization in an area of interest to you and review the financial statements and audit report for the organization. The financial statemen ...

Assignemntrequireda download the spreadsheet for problemb

Assignemnt REQUIRED a. Download the spreadsheet for problem: b. Create formulas to calculate the following: • Accumulated depreciation (all assets use the straight-line method; all assets acquired any time during the yea ...

One of the auditorrsquos roles is to verify inventory

One of the auditor’s roles is to verify inventory values. The auditor would have to verify both the quantity on hand and the unit cost to determine the inventory value. How would the auditor verify the quantity?

Accounting discussion questionsdq1review the provisions of

ACCOUNTING DISCUSSION QUESTIONS DQ1 Review the provisions of the Sarbanes-Oxley Act of 2002 to address the accounting scandals in the late 1990s and early 2000s (Enron, WorldCom, etc.). Identify the provisions that you b ...

Assignmentbullnote some of the assessments in this course

Assignment • Note: Some of the assessments in this course build upon each other, so you are strongly encouraged to complete them in the order in which they are presented. For this assessment, you may use Word or Excel to ...

Asignmentthe regal cycle company manufactures three types

Asignment The Regal Cycle Company manufactures three types of bicycles-a dirt bike, a mountain bike, and a racing bike. Data on sales and expenses for the past quarter follow:   Total Dirt Bikes Mountain Bikes Racing Bik ...

Advanced financial accountingpisa company acquired 75

Advanced financial Accounting Pisa Company acquired 75 percent of Siena Company on January 1, 20X3 for $712,500. The fair value of the non-controlling interest was equal to 25 percent of book value. On the date of acquis ...

Assignemntdilithium batteries is a division of enterprise

Assignemnt Dilithium Batteries is a division of Enterprise Corporation. The division manufactures and sells a long-life battery used in a wide variety of applications. During the coming year it expects to sell 60,000 uni ...

What is meant by the statement when a resource becomes

What is meant by the statement: "when a resource becomes essential to competition but inconsequential to strategy, the risks it creates become more important than the advantages it provides"? On the topic " It doesn't ma ...

1 discuss how marketing is often misunderstood by the other

1. Discuss how marketing is often misunderstood by the other functional areas of business. 2. What is the meaning of Balanced and Unbalanced Assignment Problems? 3. Describe the function of a Change Control Board 4. Disc ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro