Sam is planning to start a new business. If he invests all his personal savings in the business, the interest that he could have earned on those savings is considered a(n) Blank______. Multiple choice question. opportunity cost sunk cost financing cost irrelevant cost
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Sam is planning to start a new business. If he invests all his personal savings in the business, the interest that he could have earned on those savings is considered a(n) Blank______.
sunk cost
financing cost
irrelevant cost
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- Which one of the following will decrease the value of a firm's net working capital? Multiple Choice Donating inventory to charity Depreciating an asset Collecting an accounts receivable Purchasing inventory on credit Using cash to pay a supplier AITrue or False. 1. In determining the direction of financial goals, one has to decide whether to continue the same course of action, expand or change the current situation. 2. Opportunity cost is expressed in monetary terms. 3. Personal financial plan helps a person remain financially solvent. 4.Based on Poleskis current situation, will it earn its target net income? If not, how many units need to be sold to achieve the target? Explain.
- Which one of the following will decrease the value of a firm's net working capital? E Multiple Choice O O Donating inventory to charity Depreciating an asset. Collecting an accounts receivable Purchasing inventory on credit Using cash to pay a supplier % 5 00 Subm______ is a measure of how much value is created or added today by undertaking an investment. Multiple choice question. The internal rate of return The profitability index Net present value Average accounting returnUtility refers to Group of answer choices the total of your spending for the year the satisfaction you receive from purchasing something. how much money you receive during the year the value of your investments at any given time
- Generally, when NPV is negative or IRR isDIRECTIONS Use the information below to fill out a consumer equity form and calculate the net worth for each family. Net worth can be a useful tool to measure your financial progress from year to year. Your net worth is a grand total of all assets what vou own) minus liabilities (what vou owe: debts). It's important to understand that vour income Isn tine only Tactor that determines your wealtn. Occupation Annual Income Retirement Investments Real Estate Vehicles Credit Card Debt Emergency Fund Checking Account Household Items FAMILY A FAMILY B Nurse and Sales Appliance Installer $105,000 combined $45,000 $35,000 $22,000 Owns a house appraised at $224,000 with a mortgage balance of $202.000 Owns a house appraised at $180,000 with a mortgage balance of $126,000 New truck with Blue Book value Used sedan with retail value of $32,000; owes $35,000 of $9,500; paid for Used SUV with a retail value of $17,500; owes $14,500 $13,000 None $1.000 $5.000 $2,500 $650 Antiques: $5,000 Electronics:…Having to decide on the purchase of a piece of machinery to improve productivity is part of the finance manager’s responsibility in ____________. Question 11 options: 1) short-term financial management 2) capital raising 3) capital budgeting 4) preparing the accountsIn the financial portion of the business plan, how can an entrepreneur make the most of their investment?What is true about the way you should approach financial goals across different stages of your life? A.As you progress through life, your values and financial possibilities will gradually change, which leads to an evolution of your financial goals over time. b. Most people tend to make more money as they grow older and more experienced. After a certain point in your life you should have enough money to meet all of your financial goals, at which point you will no longer need to concern yourself with long-term goals. c. You need to be consistent and determined when it comes to financial goals. The financial goals you make as a young adult should stay in place for the rest of your life. d. Failure to meet a financial goal is a sign of personal weakness, so you should never alter a goal until you have completed it exactly as you imagined itWhat is the definition of “opportunity cost” as it relates to the time value of money? It is the loss of a potential gain choosing one alternative over another, particularly ignoring the time value of money. It is the benefit side of the cost/benefit ratio. It is the price of selling an asset. It is the amount of money invested in saving bonds. exoplain your answer give correct answerSEE MORE QUESTIONS
