14. Thug Co., a VAT payer, purchased goods and incurred the following: Invoice price (inclusive of P12,000 Value-Added Tax) Shipping costs 112,000 40,000 Transit insurance 12,000 Commissiön to broker Interest incurred on the loan used to finance the purchase 5,600 15,000

Q: How can the Present-Worth Comparison be done?

A: The present worth method of comparison will diminish the cash flows of every choice to time zero by…

Q: does open interest mean and where can it be found

A: In the financial markets there is flow of money out and flow coming in so contracts are settled and…

Q: What is horizon value?

A: Horizon value is the value of the project or the security at the end of a specified future date. The…

Q: How does the decision-maker use the scenario analysis?

A: Scenario analysis helps investors and analysts in making better decisions.

Q: How do adjustments and preferences affect AMTI?

A: AMTI refers to alternative minimum taxable income. The AMT was made effective and implemented with…

Q: What are value drivers?

A: Answer: The basic determinants of the cash flows of a project or primary factors in project…

Q: What is the goal of conservatism?

A: Definition:

Q: What detail would a decision maker require to analyse a dilemma with the expected value? What…

A: Settling on choices is surely the main undertaking of an administrator and it is regularly an…

Q: What Does RiskReally Mean?

A: Risk: Risk can be defined as upcoming uncertainty about variation from anticipated earnings or…

Q: What are some disadvantages of the APT?

A: APT is the abbreviation used for the arbitrage pricing theory. A theory or a model for asset pricing…

Q: Why is the NPV preferred over the IRR?

A: Net Present Value is a method of finding the profitability of a project by discounting future cash…

Q: Which decision is called the abandonment decision?

A: Answer: The decisions relating to the company that provides flexibility to discontinue the project…

Q: What is a reasonableness test?

A: Reasonableness tests is an analytical procedure used to examine the validity of the accounting…

Q: FMS option

A: Options are called financial derivatives that provide buyers with the right, but not the obligation,…

Q: What is the definition of "FMS option"?

A: Stock Option:A stock option (additionally referred to as a fairness option), offers an investor the…

Q: What is risk, and how does it affect decisions about investment?

A: Risk and return are related to each other while making investment.

Q: 1. Which entry strategy has the least risk and why?

A: When a company is looking to enter a new market especially a new foreign market (i.e. a market in…

Q: What are the Differences in Maturities?

A: Maturities in the context of the bond mean that bonds are issued for a specific period of time. It…

Q: An individual wants to have 1,000,000 AED in 10 years. Suppose she will pay no taxes at the end of…

A: To calculate the present value , the future value need to be discounted using the discount rate.…

Q: Which alternative is considered to be riskier, all else equal? and why?

A: Debt and Equity mix or only equity are the forms of capital structure which is chosen by the entity…

Q: Which option is most profitable, keeping or replacing?Insert numerical value. What is one relevant…

A: The old machine is replaced with a new machine only when the production is improved and there is a…

Q: Why the prospect theory is important

A: Introduction:- Prospect theory is very important because it elaborates how we understand and value…

Q: What are the two keys in short-term decision making?

A: Definition:   Differential analysis: Differential analysis refers to the analysis of differential…

Q: Explain the Trade-Off between Risk and Reward?

A: The trade-off means to lose one thing to achieve another thing. For example An organization is…

Q: averse

A: Risk is involved in everything. Risks will be there right from the task that we do till the…