Sales-P1,000,000 Cost of Sales-P500,000 Rental Expenses-P50,000 Salaries Expenses-P40,000 Utilities expense-P10,000 Cash-$25,000 Account Receivable-P15,000

Q: Why future value is important to calculate?

A: Future value is the value of what a certain asset/cash/instrument will be worth at a future…

Q: Discuss Present Value of Perpetuities?

A: Perpetuity is the stream of cash flows or payments that are made at equal intervals that do not have…

Q: Define then discuss Value-at-Risk.

A: The stock market is full of new policies and procedures. It get impacted by change in the government…

Q: What is seasonal dating?

A: It arranges the invoice date or the date at which the discount and credit period starts, to a time…

Q: Can you make me a comparison and contrast of present value and future value?

A: Financial Accounting:- Financial accounting includes recording, summarizing and reporting a…

Q: Explain renewal probability?

A: Answer: Renewal probability is nothing but the average percentage of renters in a building that is…

Q: Create a chart reflecting the conventional payback period?

A: The question is based on the calculation of payback period.

Q: What is forecast horizon?

A: Forecasting refers to the process where estimation about the future events is determined in advance…

Q: state the limitations of the payback pe

A: Answer : The payback period is the quantity of time needed for cash inflows generated by a project…

Q: So how would we find basic EPS?

A: Basic EPS is calculated by dividing the earnings available to common stockholders by the weighted…

Q: What is the internal rate of return?

A: Internal rate of return is the discount rate at which present value of cash inflows equals outflows…

Q: What is a yield curve, and what information would you need todraw this curve?

A: Yield curve: It could be a line plotting bond yields (coupon rates) of comparative credit quality…

Q: What is the horizon value? Why is it also called the terminal valueor continuing value?

A: Horizon value is the value of the expected dividend that will be received after the horizon date.

Q: Explain HPRs and Inflation?

A: Answer: Holding period returns (HPRs): Holding period return (HPR) is one of the investment…

Q: Give A Graphic Illustration of Present Value?

A: Present value refers to the current value of a future expected sum of money or an asset or a stream…

Q: Should management accept the proposed weekend pric

A: Differential analysis states the technique of decision making which explains the benefits as well as…

Q: What are MACRS recovery period?

A:

Q: What is future value, FV?

A: Future Value: The future value is the value of the present amount compounded at an interest rate…

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 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 maximum value that a call can take? Why? Explain which option (i.e. put or call)…

A: Options are of 2 types:1) Call Option2) Put Option

Q: How can we Analyze Expected House Prices?

A: Real estate has traditionally been considered a safe investment. But recessions and other disasters…

Q: Why does riskiness increase with time?

A: Risk can be said as that difference that arises which arises on expected outcome or investment's…

Q: Explain the advantage of saving early?

A: Money received today is worth more than money due at a later date, according to the time value of…

Q: eathree o qucu oesi? of e tos What does the beta of the project represent and how will higher…

A: There are two types of risk: systematic risk and unsystematic risk. Systematic risk is that risk…

Q: What is the proposal’s internal rate ofreturn?

A: The internal rate of return is a metric used in financial analysis to estimate the profitability of…

Q: Explain real rate of return

A: This is the raw rate of return adjusted with inflation. It is used to ascertain the effective return…

Q: payback period, NPV, and IRR always lead to the same decision? Why or why not? If not, which one…

A: Step 1   One of the most essential choices a business owner or management will ever make is capital…

Q: Give a detail example of option to expand

A: In order to expand the business operations and to invest in a particular project in the future with…

Q: Explain expected rate of return

A: Return: Return is defined as the money attained or lost on an investment through certain time…

Q: Describe the steps in short term decision making.

A: Short-term decision making: The short-term decision making requires some steps to follow for proper…

Q: When will the prime rate go up and what factors drive it?

A: The prime rate is the best interest rate you can get, and it's influenced by the economy.   In order…