Introduction of the term net present value
Give a brief introduction of the term net present value? Write down its admittable rules, their merits and demerits?
Expert
Net present value (or NPV) is a financing word that illustrates the cash flow worth for both outflow and inflow and it is been stated as the sum of the present values of cash flow. NPV is formulated as prospect cash flow subtracted from the buy price. It is as well the tool to compute discounted cash flow and is a standardized method for the determination of capital budgeting. The merits and demerits of it are illustrated below:-
The advantage of NPV is required for long term projects and it evaluates the excess or shortfall of cash flows as it is employed for the reinvestment at the discount rate that is employed for this. The advantage is that the amendment for this is a less risky and it adds a less of complexity in making the cost higher.
Production Possibility Curve: Similar to the individuals, a society as entire has restricted resources. It has to decide what to manufacture with restricted resource
Question: Read the following excerpts from the article "Fruit, veg costs surge' by Todd, Dagwell, published in the Herald on January 25th 2011 and answer questions below: Q : Main economic functions of government Enumerate and briefly discuss the main economic functions of government. Which of these functions do you think is the most controversial? Why?
Enumerate and briefly discuss the main economic functions of government. Which of these functions do you think is the most controversial? Why?
Suppose you go to a recycling center and are paid 25 cents per pound for your aluminum cans. However, the recycler charges you $.20 per bundle to accept your old newspapers.
Describe briefly Distinction between the term Component cost and Composite cost?
I have a problem in economics on Capitalism-Tightly regulate business. Please help me in the following question. The govt. in a purely capitalist state would not: (1) Find out the property rights. (2) Enforce contracts among private parties. (3) Offer
Describe unexpected deflation?
Question: Monica has been considering buying a mountain bike. Last month Monica had an income of $30,000. The bike's price was $1000, the composite good price was $1, and she decided not to buy the bike. This month Monica was surprised t
Give a brief introduction of the term Cost Principle ?
Describe briefly Operating income approach?
18,76,764
1957683 Asked
3,689
Active Tutors
1455377
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!