Project A has a predicted payback period of 2.5 and Project B has a predicted payback period of 5. Based on this information we can conclude that Select one: A. more information should be gathered before deciding on which project, if either, is desirable. B. Project A is preferred to Project B. C. Project B provides twice the return of Project A. D. Project B is preferred to Project A, but it is not necessarily twice as profitable.

Answers

Answer 1
Answer:

Answer:

A. more information should be gathered before deciding on which project, if either, is desirable.

Explanation:

The lower Payback Period is not sufficient information to decide which project is more profitable. The payback period indicates when in the life of a project the initial investment principal cash flow is achieved.

But to decide about a certain project it is better to know the interest yield, it is also important to get the life of the project and other information.

For example:

a.- 250 investment 100 per year  payback in 2.5-year life 3 years

b.- 500 investment 100 per year payback in 5-year life 20 years

While A payback occurs before project B is better


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Prepare adjusting entries for the following transactions. 1. Depreciation on equipment is $1,340 for the accounting period. 2. Interest owed on a loan but not paid or recorded (accrual) is $275. 3. There was no beginning balance of supplies and $550 of office supplies were purchased during the period. At the end of the period $100 of supplies were on hand. 4. Legal service revenues of $4,000 were collected in advance. By year-end $900 was still unearned.5. Salaries incurred by year end but not yet paid or recorded amounted to $900.
Which of the following accurately describe depreciable cost? i. The amount of cost a company intends to depreciate over the life of the asset? ii. The acquisition cost of the asset. iii. The fair market value of the asset iv. The acquisition cost of the asset less the salvage value.
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To achieve the social optimum,the government could set a tax equal to ________ per unit sold. A) $6 B) $4 C) $2 D) $3 E) $5

To attract customers into a store, Safeway advertises its milk at less than cost, hoping that customers will purchase other groceries as well. This pricing strategy is called a. comparison discounting. b. special-event pricing. c. differential pricing. d. price or loss leader pricing. e. price lining.

Answers

Answer:

D. Price or Loss leader pricing

Explanation:

A loss leader (also leader) is a pricing strategy where a product is sold at a price below its market cost to stimulate other sales of more profitable goods or services. ... The loss leader is offered at a price below its minimum profit margin—not necessarily below cost.

Boilermaker House Painting Company incurs the following transactions for September. 1. Paint houses in the current month for $15,000 on account. Assets increase and stockholders' equity increases.
2. Purchase painting equipment for $16,000 cash. One asset increases and another asset decreases.
3. Purchase office supplies on account for $2,500. Assets increase and liabilities increase.
4. Pay employee salaries of $3,200 for the current month. One asset increases and another asset decreases.
5. Purchase advertising to appear in the current month, $1,200. Assets increase and stockholders' equity increases.
6. Pay office rent of $4,400 for the current month. Assets decrease and stockholders' equity decreases.
7. Receive $10,000 from customers in (1) above. One asset increases and another asset decreases.
8. Receive cash of $5,000 in advance from a customer who plans to have his house painted in the following month. Assets increase and liabilities increase.
For each transaction, describe the dual effect on the accounting equation. For example, for the first transaction, (1) assets increase and (2) stockholders' equity increases.

Answers

The descriptionof the dual effects of the transactions on the accounting equation is as follows:

1. Asset increases (Accounts Receivable) and stockholders' equity (Retained Earnings) increases.

2. One asset (Equipment) increases and another asset (Cash) decreases.

3. Assets (Supplies) increase and liabilities (Accounts Payable) increase.

4. Assets (Cash) decrease and stockholders' equity (Retained Earnings) decreases.

5. Assets (Cash) decrease and stockholders' equity (Retained Earnings) decreases.

6. Assets (Cash) decrease and stockholders' equity (Retained Earnings) decreases.

7. One asset (Cash) increases and another asset (Accounts Receivable) decreases.

8. Assets (Cash) increase and liabilities (Deferred Revenue) increase.

What is the Accounting Equation?

The accounting equation is a depiction that assets equal liabilities and equity at every given time and with every transaction.  This equation gives each transaction the dual effect.

Data Analysis:

1. Accounts Receivable $15,000 Service Revenue $15,000

2. Equipment $16,000 Cash $16,000

3. Supplies $2,500 Accounts Payable $2,500

4. Salaries Expense $3,200 Cash $3,200

5. Advertising Expense $1,200 Cash $3,200

6. Rent Expense $4,400 Cash $4,400

7. Cash $10,000 Accounts Receivable $10,000

8. Cash $5,000 Deferred Revenue $5,000

Thus, the dual effect means that each transaction affects, at least, two accounts of the accounting equation.

Learn more about the dual effects of accounting transactions at brainly.com/question/2707498

The ________ summarizes what has been found during the systems analysis phase, provides cost/benefit analyses of alternatives, and makes recommendations on what should be done.

Answers

Answer:

The answer is Systems Proposal.

Explanation:

Answer:

The correct word for the blank space is: Systems Proposal.

Explanation:

In computer science, the Systems Proposal is a second step on a project that outlines the features, benefits, costs, alternatives, and a step-by-step schedule of the software that is intended to be developed. All the information is gathered in a document that has the intention to promote the production of the software, thus, the Systems Proposal mainly provides the core information and highlights benefits over costs without hiding anything relevant.

Susmel Inc. is considering a project that has the following cash flow data. What is the project's payback? Year 0 1 2 3 Cash flows -$500 $150 $200 $300 2.03 years 2.25 years 2.50 years 2.75 years 3.03 years

Answers

Answer:

Payback period = 2.5 years

Explanation:

given data

Year    0            1           2           3

cash    -$500  $150   $200   $300

to find out

What is the project's payback

solution

Year        Cash flows   Cumulative Cash flows

0                 500             500

1                  150              350

2                 200             150

3                 300              150

so

Payback period = Last period with a negative cumulative cash flow +(Absolute value of cumulative cash flows at that period ÷ Cash flow after that period)      .........................1

put here value we get

so

Payback period = 2+ (150)/(300)    

Payback period = 2.5 years

Final answer:

The payback period for the project is approximately 2.75 years.

Explanation:

The payback period is a financial metric used to assess the time it takes for an investment or project to generate enough cash flows to recover the initial investment cost. It's a simple tool for evaluating the risk and return of an investment, with shorter payback periods generally indicating lower risk. The payback period is the amount of time it takes to recover the initial investment in a project.

To calculate the payback period, we sum the cash flows until we reach or surpass the initial investment.

In this case, the initial investment is $500, and the cash flows are: $150, $200, and $300 in years 1, 2, and 3 respectively.

By adding the cash flows together, we find that the project's payback is 2 years and 25% of year 3, which is approximately 2.75 years.

Learn more about payback period here:

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Nora is interested in a career in human resource management. She expected her first job to focus on giving employees access to information and enrollment forms for training, benefits, and other programs. However, she has since learned that HR employees spend less time doing that kind of work. Which trend is behind that change

Answers

Answer:

employees can now get such information through self-service

Explanation:

The trend behind this change is that, employees can now get such information through self-service. Human resource Employees spend less time doing such work now because such information is readily available on the internet and can be accessed by any employee at anytime that they want to do so on their own.

Suppose that LilyMac Photography has annual sales of $290,000, cost of goods sold of $155,000, average inventories of $3,500, average accounts receivable of $21,000, and an average accounts payable balance of $10,000. Assuming that all of LilyMac's sales are on credit, what will be the firm's cash cycle?

Answers

Answer:

11.12

Explanation:

See attached files

Answer:

Explanation:

Suppose that LilyMac Photography has annual sales of $233,000, cost of goods sold of $168,000, average inventories of $4,800, average accounts receivable of $25,600, and an average accounts payable balance of $7,300.

Assuming that all of LilyMac’s sales are on credit, what will be the firm’s cash cycle? (Use 365 days a year. Do not round intermediate calculations. Round your final answer to 2 decimal places.)