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NEW QUESTION: 1
A project requires an initial outlay of 650. It also needs capital spending of 700 at the end of year 1 and
900 at the end of year 2. It has no revenues for the first 2 years but receives 1,200 in year 3, 1,600 in year
4 and 2,300 in year 5. The project's cost of capital is 10%. The discounted payback period equals
________.
A. 4.02 years
B. 3.46 years
C. 2.26 years
D. 3.19 years
Answer: A
Explanation:
Explanation/Reference:
Explanation:
The cash flows of the project starting at the end of year 1 are:
-700, -900, +1,200, +1,600, +2,300
The discounted payback period is defined as the expected number of years that would be required to recover the original investment using discounted cash flows. The discounted cash flow at the end of year N is obtained by dividing that year's cash flow by 1.1N, since the project's cost of capital is 10%. Using this, the discounted cash flows are:
-636, -744, +902, +1,093, +1,428.
Recovery occurs in the 5th year. At the beginning of the 5th year, the outstanding balance equals 650 +
636 + 744 - 902 - 1093 = 35. Therefore, the discounted payback period = 4 + 35/1428 = 4.02 years.
NEW QUESTION: 2
Which three statements are true about payroll deductions? (Choose three.)
A. The deduction element's status processing rule drives the calculation, accessing the rates and rules that are defined for the related payroll deduction and the values that are captured on a personal deduction card.
B. A personal deduction card contains person-specific information that is used to calculate the deduction amount.
C. A payroll deduction comprises the rates and rules that are used to calculate the deduction amount.
D. The rates and rules that are defined on a personal deduction card cannot override the values that are defined in the deduction ranges at the legislative level.
E. Wage basis rules are defined at the personal level and the context value for the rule is captured on the deduction card.
Answer: A,C,E
NEW QUESTION: 3
Which command shows actual allowed connections in state table?
A. fw tab connections
B. fw tab -t connection
C. fw tab -t connections
D. fw tab -t StateTable
Answer: C