Capital budgeting is the process of making capital expenditure decisions. used in sell or process further decisions. of determining how much capital stock to issue. of eliminating unprofitable product lines.

Answers

Answer 1

Answer:

The correct answer is the first option: of making capital expenditure decisions.

Explanation:

To begin with, the term known as "Capital Budgeting", in the field of business management, refers to the method a company's manager use in order to see how profitable it is to start some new inversions or projects, therefore that the main purpose of this process is to involve the elaboration of a budget that will help the superiors of the organization to make capital expenditure decisions when they are looking for a new inversion or project to start with. It is very helpful in the situations where there is a need for evaluation of future prospects.


Related Questions

If contracting parties attach materially different meanings to a contract word or term subject to more than one reasonable interpretation, the contract is void. a. True b. False

Answers

Answer:

True

Explanation:

A contract is a professional document with the set of guidelines and regulations for a business when there is a partnership between two or more people, and that should be a parameter instrument for the effectiveness of a business and compliance with the current legislation.

Every contract must be drafted in a clear and objective manner, with equal rights and obligations for all members and in such a way as not to give scope for different interpretations or clauses that benefit someone. Therefore, it is correct to state that if the contracting parties assign different meanings to words or a contractual term that gives rise to more than one interpretation, the contract will be void.

In a closed economy, saving and investment must be equal, but this is not the case in an open economy. In the following problem, you will explore how saving and investment are connected to the international flow of capital and goods in an economy. Before delving into the relationship between these various components of an economy, you will be asked to recall some relationships between aggregate variables that will be useful in your analysis.

Recall the components that makeup GDP. National income (Y) equals total expenditure on the economy's output of goods and services. Thus, where C= consumption, I= investment, G =government purchases, X=exports, M =imports, and NX= net exports.
Y= _____

Also, national saving is the income of the nation that is left after paying for _____. Therefore, national saving (S) equals:
S=_____

Rearranging the previous equation and solving for Y yields, Y= _____ Plugging this into the original equation showing the various components of GDP results in the following relationship:
S=_____

Answers

Answer:

Y = C + I + G + NX

S = Y - C

S = I + G + NX

Explanation:

National Income Y = C + I + G + NX ; {where consumption, investment, government purchases, net exports ie exports - imports are corresponding expenditure of households, firms, government, rest of the world}

National Saving (S) is income (Y) left after paying for consumption (C) . So, S = Y - C

Using above equations, Y = C + S , Y = C + I + G + NX

C + S = C + I + G + NX

So, S = I + G + NX

Do you think that some people have difficulty talking to others face-to-face because of how prevalent texting is today? When you have an issue that you need to discuss with someone, do you prefer to sit down and talk it out, handle it through texting or social media, or some other form of written communication? Write your response to the following questions in a 5-7 sentence paragraph below (Please help asap)​

Answers

Answer: I do think that people have difficulty talking to others face-to-face because of how prevalent texting is today. The reason for that is because we’ve gotten used to having time to think about our answer before sending our message. In general, there’s less pressure with texting than there is with face-to-face. You’re in front of the person you’re talking to and they’re able to monitor you closely, which could make some people uncomfortable and unable to think of anything to say. Another reason is because texting is able to be done without moving. It’s more convenient than meeting up with someone to discuss something.

Penny Arcades, Inc., is trying to decide between the following two alternatives to finance its new $28 million gaming center: a. Issue $28 million of 6% bonds at face amount. b. Issue 1 million shares of common stock for $28 per share. 2. Which alternative results in the highest earnings per share

Answers

Answer:

Penny Arcades, |nc.

a. Issue $28 million of 6% bonds at face amount.

Explanation:

Alternative A will surely result in higher earnings per share than Alternative B.  It has been established that some financial leverage enables the stockholders to earn more per share.  This is not a debatable issue.  The hard work lies with the corporation's ability to find the debtholders that can finance its activities and assets.  This means that the stockholders of Penny Arcades, Inc. will be at a much more financial advantage if they can find creditors to lend it the $28 million for the gaming center than making the finance available themselves.

Which organization compiles data on individuals and businesses to report on their credit?
TransUnion
The Bureau of Consumer Protection
The National Credit Union Administration
Vantage Scores

Answers

Answer:

Option A

Explanation:

There are primarily three credit bureaus to which the Lenders go namely -

a) TransUnion

b) Equifax

c) Experian

These three agencies are interested in reviewing credit reports before lending any financial aid.

Hence, option A is correct

Answer:

TransUnion

Explanation:

Austin Corporation, a U.S. corporation, received the following investment income during the current year: $50,000 of dividend income from ownership of stock in a French corporation, $20,000 interest on a loan to its Dutch subsidiary, $40,000 royalty from its 50 percent owned Irish venture, and $30,000 capital gain from sale of its stock in a Brazilian corporation. How much of Austin's income is treated as foreign source

Answers

Answer:

Austin's income is treated as a foreign source    $110,000

Explanation:

The computation of the amount of income treated as the foreign source is given below;

Dividend income arise from the ownership of stock in a French corporation        $50,000

Add: Interest on a loan to its Dutch subsidiary      $20,000

Add: Royalty from its 50 percent owned Irish venture $40,000

Austin's income is treated as a foreign source    $110,000

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