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1. Suppose a firm's tax rate is 35%. What affect would a $10 million operating expense have on this year's earnings? What effect would it have on next year's earnings?
2. What effect would a $10 million capital expense have on this years earnings if the capital is depreciated at a rate of $2 million per year for five years? What effect would it have on next years earnings?
3. Suppose the risk free interest rate is 4%. Having a $200 today is equivalent to having what amount in one year? Having $200 in one year is equivalent to having what amount today? Which would you prefer,$200 today or $200 in one year?
4. Your firm has a risk free investment opportunity where it can invest $160,000 today and receive $170,000 in one year, for what level of interest is this project attractive?
What is the difference between business risk and financial risk? Business risk refers to the improbability a company has with regard to its operating income also known as earni
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What is GATT, and what is its goal? GATT is also termed as General Agreement on Tariffs and Trade. It is a treaty which seeks to decrease trade barriers among participant nation
Develop and implement strategic plan using bounce fitness as case study
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Explain the factors affecting the choice of a minimum cash balance amount. The minimum cash balance amount is defined by how easy it is to raise funds when required, how expected
It is the most useful method of promoting economic development. It may be used for the development of economic and social overheads such as construction of roads, railways, power p
EOQ
Discuss the applicability of an operating in vegetable growing business in Uganda.
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