User Account

All Pages

Explain the discount rate you would recommend

Assignment Help Managerial Accounting
Reference no: EM133027197

Question - Your corporate Planning have decided to maintain the policy of applying a real terms discount rate of 15% pa to the latest development projects. Your parent company's weighted average cost of capital is forecast to be 6% pa after tax for the foreseeable future, and the purchasing power of the UK pound is predicted to decline steadily at the rate of 2% pa. Explain the discount rate you would recommend to use when evaluating the economical valuation of the potential projects considering the policy statement stated.

Reference no: EM133027197

Questions Cloud

Research the compensation system : The organization examples are: University of Arizona, Cisco Systems and Whole Foods. Research the compensation system of one of these organizations.
Explain the big five personality traits : Please describe each of the "Big 5" personality traits. For each trait, provide an example of how it might contribute positively to an individual's performance.
Theories of change - culture and innovation : Discuss current and future market/economic trends. You should be focusing in particular on Brexit; international trade deals
What is the irr of the replacement project : Assume the firm's tax rate is 30% and the discount rate for projects of this sort is 8%. What is the IRR of the replacement project
Explain the discount rate you would recommend : Explain the discount rate you would recommend to use when evaluating the economical valuation of the potential projects considering the policy statement stated
Determine the payback period for the project : A project requires an initial outlay of $100,000, and is expected to generate annual net cash inflows of $28,000 for the next 5 years. Determine payback period
What is Peach Corporation deduction : Expenses of temporary directors and organizational meetings $26,000. What is Peach Corporation's deduction for organizational expenditures for 2020
Recognizing employee contributions with pay : Analyze how pay influences individual employees, and the three theories that explain the effect of compensation on individuals.
Prepare an income statement for the shop : Question - The owner of a bicycle repair shop forecasts revenues of $184,000 a year. Prepare an income statement for the shop

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd