How to calculate the projected annual revenue.

Q: Explain what is meant by future deductible amounts. Why is it important to understand this concept?

A: Future deductible amounts refer to the expenses that a business incurs in the current period but…

Q: Under which situation is the simple rate equal to the effective annual rate, and under which…

A: Simple interest is a linear function of time since it is computed on the initial principal amount…

Q: Write the various applications that call for annual-worth analysis techniques?

A: Annual worth analysis is the analysis which is done by the managers before taking capital budgeting…

Q: How to find present value annuity

A: Present value: It is the present value of the sum of money that a firm is going to receive at some…

Q: Wildhorse Inc. is considering modernizing its production facility by investing in new equipment and…

A: The profit made over an investment made by the investors is referred to as the rate of return. It is…

Q: What is the effective annual rate (EAR) and what is the purpose.

A: The effective Annual Rate (EAR) is the rate of interest actually earned on an investment or paid on…

Q: Differentiate between the accumulated benefit obligation and the projected benefit obligation.

A: ABO (Accumulated benefit obligation) and PBO (Projected benefit obligation) are similar in most of…

Q: How to find the incrementa

A: Incremental cost is an additonal cost which a manufacturer incurs due…

Q: Give me the formula of net present value

A: Net Present Value of a project is equivalent to the difference between the present value of cash…

Q: Does the accrual accounting rate-of-return method consider income earned throughout a project's…

A: The accrual accounting rate-of-return(ARR) formula splits the average income of an asset by the…

Q: What is the annual profit?

A: The cost-volume profit analysis deals with the cost of the product and the profit generated with the…

Q: Steve's, a maker of swizzle sticks, is considering the purchase of a new plastic stamping machine.…

A: The IRR is the rate at which the Net present value is zero. It is the rate at which the present…

Q: Explain APY (annual percentage yield)?

A: APY (Annual Percentage Yield):   It is the real return rate that is earned on an investment during a…

Q: What is Annual-payments option?

A: The annual payment option is the obligation to pay the amount to the receiver annual instead of the…

Q: Describe the affects of the present value of an investment.

A: Present value of the investment: Present value of the investment is calculated using the cash flows…

Q: hat are examples of expenses that require estimates for the future and why do we do this?

A: Expenses An expense is a particular kind of outlay that appears on the income statement and is…

Q: Discuss the present value of an annuity due with an example

A: Present value of an annuity An Annuity is a stream of regular periodic payments made or received for…

Q: Explain the Accumulation of a Future Sum?

A: The concept which gives the value or worth of money held today at the future date due to its…

Q: Compute the gross profit under each plan

A: This is a follow-up question. we need to compute the gross profit of each plan. The financial data…

Q: How can we calculate the net present worth of each payment?

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: How can we calculate ownership (capital) cost, annual operating cost, and equivalent annual cost?

A: Ownership cost is the cost of owning a particular asset/equipment and is usually the purchase price…

Q: How to identify net revenue for the current FY?

A: For identifying the revenue earned during the current year the accrual principle of accounting needs…

Q: What should be done to find the equivalent present worth of the actual dollar amount?

A: Present value is the concept of discounting future value to bring it to today’s worth.

Q: how to calculate NPV of realized revenue in each history (realizations of states) in stochastic…

A: Your answer:   There is no definitive answer to this question since it will depend on the specifics…

Q: Define the term the annuity factor?

A: An annuity factor is financial value that, when multiplied by a periodic amount, then it shows the…

Q: Give an example on annual rate of return method

A:

Q: What can be understood from annual percentage rate (APR)?

A: Annual percentage rate (APR): The yearly rate charged for borrowing or picked up from speculation is…

Q: How to make capital investment choices based on the internal rate of return (IRR)

A: Capital investment choices based on the internal rate of return (IRR) will be explained:

Q: How can we calculate the net annual sponsor's costs?

A: Sponsorship cost:   It refers to the cost of supporting an event or economic activity for an agent…

Q: First holding period return need to be calculated, then annualized return.

A: Annual rate of return for first 10 years (r1) = 0.12 or 12% Annual rate of return for 10 to 15 years…

Q: Define future value of a single amount.

A: Time value of money: Time value of money refers to the concept that the value of money available at…