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Sunk Cost
This is a cost which has already been incurred and cannot be affected through present or future decisions.
Ken started college at the age of 18 with $63,450 already saved, because 18 years ago his saving account 7.25 per year.
Baldwin Company is interested in buying a new corporate jet for $6 million. It will depreciate the jet fully in 5 years and then sell it for $5 million. The jet will use $60,000 in
Q. Importance of the cost of capital? 1. Evaluating financial performance: the actual profitability of the project is compared to the projected overall cost of capital and th
Illustrate the structure of financial markets? Structure of financial markets: Financial markets can be categorized onto the basis of several parameters as follows: the n
Q. Merits of accept-reject criteria? Merits of ARR:- (i) Simple: - ARR method is very simple to understand and use. (ii) Complete life time of the project is considered:
The graphical method is a simple one, and is the most easily understood of the several linear programming methods. A thorough knowledge of the graphical procedure
Return on Investment (ROI) In accounting it is a measure of the earning power of an industries asset. A high return on investments is desirable. ROI is widely described as net
The mortgage-backed securities dealt with till now are agency mortgage backed securities. There are other MBS which can be for any kind of real estate property.
What is the monthly interest rate if the lease payments are $24,000 per month for 24 months. The total value is $420,000
Q. Show Factors influencing participation? Factors influencing participation: several research studies have shown that the intensity of participation depends on four factors.
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