Present Value Years Interest Rate Future Value 8. 7% $ 13,827 43,852 725,380 13 15 17 26 18 590,710

Q: What is par value?

A: Stockholders’ equity is the measure of assets staying in a business after the sum total of the…

Q: How to compute the PV Factor?

A: The PV factor allows you to discount a future value to a present value. The formula to determine the…

Q: What is market model?

A: A market model is a numerical portrayal of the exchanges among different members, financial powers,…

Q: What is fundamental beta?

A: Introduction: Beta is nothing but a metric used to assess a portfolio’s uncertainty or risk, with a…

Q: Mr. Dayani purchases an annuity with funds from his savings account on January 1, 2018. The annuity…

A: Annuity payment refers to an amount that is paid at every period for the accumulation of the amount…

Q: What is tip of financ

A: Finance is generally described as managing money, which encompasses actions including such…

Q: What are the benefits of netting?

A: Answer Defination:- Netting is a process by which an exposure or obligation is reduced by combining…

Q: What is the meaning of margin of safety?

A:

Q: What is the Economic Ordering Quantity?

A: Economic ordering quantity (EOQ): Economic ordering quantity (EOQ) is the perfect order quantity a…

Q: What is fundamental value or price?

A: Fundamental value is a measure of what an asset's worth. This gauge is acquired by methods for an…

Q: Is an higher NPV better than a lower NPV and why?

A: The net present value is the difference between sums of the present value of cash inflows and…

Q: What is opportunity cost rate?

A: The opportunity cost is the cost of the option or alternative missed due to the acceptance of the…

Q: What is offer price?

A: Bid price is the maximum price which the buyer is willing to pay to purchase. In other words, it…

Q: What is the ROE and operating Margin?

A: ROE = Net Income/Shareholders equity In the given case, Shareholders equity is 60 % of the vehicle…

Q: how do I calculate the PV factor?

A: PV factor is the present value of future cash flow of $1 after n years.

Q: What is PV ratio? How do you calculate it?(explain with an example)

A: PV ratio is the ratio that represents the function of sales and contribution. This shows the…

Q: What is the law of supply?

A: When the price of any given good increases, the supply of the said good also increases. But this…

Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.