Author Question: The advantages of NPV are all of the following EXCEPT A) it recognizes the timing of the benefits ... (Read 55 times)

audragclark

  • Hero Member
  • *****
  • Posts: 579
The advantages of NPV are all of the following EXCEPT
 
  A) it recognizes the timing of the benefits resulting from the project.
  B) it can be used as a rough screening device to eliminate those projects whose returns do not
  materialize until later years.
  C) it allows the comparison of benefits and costs in a logical manner through the use of time
  value of money principles.
  D) it provides the amount by which positive NPV projects will increase the value of the firm.

Question 2

Mix Sweet Shop bakes and sells pies. Mix has annual fixed costs of 880,000 and a variable cost per
  pie of 7.50. Each pie sells for 15.50 each. The firm expects to sell 500,000 pies annually. What is
  the break-even point in pies?
 
  A) 190,440 B) 200,000 C) 280,000 D) 110,000


juwms

  • Sr. Member
  • ****
  • Posts: 337
Answer to Question 1

B

Answer to Question 2

D



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

According to the CDC, approximately 31.7% of the U.S. population has high low-density lipoprotein (LDL) or "bad cholesterol" levels.

Did you know?

The largest baby ever born weighed more than 23 pounds but died just 11 hours after his birth in 1879. The largest surviving baby was born in October 2009 in Sumatra, Indonesia, and weighed an astounding 19.2 pounds at birth.

Did you know?

Approximately 70% of expectant mothers report experiencing some symptoms of morning sickness during the first trimester of pregnancy.

Did you know?

For high blood pressure (hypertension), a new class of drug, called a vasopeptidase blocker (inhibitor), has been developed. It decreases blood pressure by simultaneously dilating the peripheral arteries and increasing the body's loss of salt.

Did you know?

Signs of depression include feeling sad most of the time for 2 weeks or longer; loss of interest in things normally enjoyed; lack of energy; sleep and appetite disturbances; weight changes; feelings of hopelessness, helplessness, or worthlessness; an inability to make decisions; and thoughts of death and suicide.

For a complete list of videos, visit our video library