Reference no: EM132527597
The Central division of NLH, Inc. is considering an investment that has the following projected information:
Revenues = $100,000
All expenses = $85,000
Investment value = $250,000
Upper management of NLH, Inc. has established the cost of capital at 10%.
Question 1: If the manager is compensated based on residual income, will she make the investment?
a. No, because the residual income from this investment is -$10,000.
b. Yes, because the residual income percentage exceeds the cost of capital percentage.
c. Yes, because the residual income from this investment is $15,000.
d. No, because the residual income is -$25,000.
|
Is the balanced scorecard establishes multiple alternative
: Is The Balanced Scorecard establishes multiple alternative perspectives of the firm with the financial perspective. True or false.
|
|
How much must you save at the end of each of the next 7 year
: You want to buy a Toyota prius on your 27th birthday. You have priced these cars and found that they currently self for $30,000. You believe
|
|
Which is a quality of financial performance measures
: Which of the following is a quality of financial performance measures that creates a disadvantage? Overly context-specific,Subjective/noisy
|
|
Prepare the entry to close the net income
: Danny, Edward, and Francis invested $82,000, $49,200 and $32,800, respectively, in a partnership. Prepare the entry to close the net income
|
|
Will make the investment if the manager is compensated
: If the manager is compensated based on residual income, will she make the investment? The Central division of NLH, Inc. is considering an investment
|
|
What is the amount of each annuity payment
: What is the amount of each annuity payment for a year 10,000 if the interest is 10 percent assume the first payment will be made a year from today
|
|
Calculate empirical and molecular formula of the hydrocarbon
: Calculate the empirical and molecular formula of the hydrocarbon. Draw the skeletal formula of five of the possible structural isomers of the hydrocarbon
|
|
Prepare the adjusting entry on april
: Cage Company has 10 employees, who earn a total of $2,900 in salaries each working day. Prepare the adjusting entry on April 30
|
|
Comparing the present value
: Suppose someone offered to sell you a commercial note (like a corporate bond, this is a short term obligation or loan) that calls for a single $3,750 payment
|