Ask Question, Ask an Expert


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

Assignment1500-1800 words assignment for paula hogpart 1as

Assignment 1500-1800 words assignment for Paula Hog Part 1 As EEC's corporate business financial analyst, you will need to have a clear understanding of the different types of costs (variable, fixed, and mixed) that the ...

Assignmentin a survey 24 it professionals in chicago were

Assignment In a survey, 24 IT professionals in Chicago were asked how much their annual salary was for the year 2012. The results are shown below: $109,000 $ 65,000 $ 65,000 $ 59,000 $ 180,000 $ 101,325 $ 130,000 $95,000 ...

Robert wondered why he was always so stressed out when he

Robert wondered why he was always so stressed out when he was dealing with Lucas, the latest addition to his team. On the face of it, the new hire seemed very agreeable and supportive, but whatever interactions he had ha ...

Discussion 4answer in 2-3 paragraphs and use

DISCUSSION 4 ANSWER IN 2-3 PARAGRAPHS AND USE SCHOLARLY SOURCE(S) Using the U.S. Securities and Exchange Commission's EDGAR database, select a public company that has consolidated subsidiaries. To minimize the chances of ...

Assignmentcomprehensive receivables problem connecticut inc

Assignment (Comprehensive Receivables Problem) Connecticut Inc. had the following long-term receivable account balances at December 31, 2006. Note receivable from sale of division $1,800,000 Note receivable from officer ...

Exercise 1 fixed versus variable cost behaviornasenko

Exercise 1: Fixed versus variable cost behavior Nasenko Company's cost and production data for two recent months included the following:                            March    April Production (units)   200       400 Rent   ...

Project - transactionsinstructionsthis project is a review

Project - Transactions/Instructions This project is a review of the accounting cycle that has been covered during class. You have two weeks to complete the project. Please prepare all information in a professional manner ...

Assignmentdue to erratic sales of its sole product-a

Assignment Due to erratic sales of its sole product-a high-capacity battery for laptop computers-PEM, Inc., has been experiencing difficulty for some time. The company's contribution format income statement for the most ...

1-balance sheet computationsbalance sheet presented below

1-Balance sheet computations. (Balance Sheet) Presented below is the trial balance of Hightower Corporation at December 31, 2017.   Debit Credit Cash 295,000   Sales Revenue   $12,150 Debt Investments (trading) (at cost, ...

Iexercises1 an extract from the trial balance of armstrong

I. Exercises 1. An extract from the trial balance of Armstrong Corp. at June 30, 2016 is reproduced below:   Account Amount in unadjusted trial balance Amount in adjusted trial balance 1 Prepaid insurance $1,200 $  800 2 ...

  • 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

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

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen