The interest rate used to compute the present value of future cash flows refers to:
A) discount rate.
B) investment rate.
C) transfer rate.
D) future cash flow rate.
E) valuation rate.
A
Explanation: A) The interest rate (n in the example) at which money can be borrowed or invested, the cost of capital, is called the discount rate for TVM calculations. For example, PVn = Y * 1/ (1 + i)n
CL
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The company is deciding whether to drop product line F because it has an operating loss. Assume that $22,000 of total fixed costs could be eliminated by dropping F. What effect would this decision have on operating income?
Momentum Rollerblades has three product lines—D, E, and F. The following information is available:
A) Operating income will increase by $23,000.
B) Operating income will increase by $3000.
C) Operating income will decrease by $23,000.
D) Operating income will decrease by $3000.
Identify the following group of words: If you approve my proposal to telecommute two days per week
A) correctly punctuated sentence B) fragment C) comma splice D) run-on sentence
If the marketing communication has piqued the interest of its target market, the goal of subsequent IMC messages should be to move the consumer from "I want it" to "I like it."
Answer the following statement true (T) or false (F)
In CASE 18.3 Koontz v. St. Johns River Water Management District (2013), plaintiff Koontz purchased 14.9 acres of undeveloped land classified as "wetlands." The State of Florida found Koontz's land-use permit proposal (which included land and cash) to develop the land inadequate and imposed more "conditions" to the permit. Koontz found these conditions were excessive under the Nolan and Dollan
cases, and filed suit. The U.S. Supreme Court __________ the Florida Supreme Court, holding that the government's demand for property (and cash) for land under the __________ requirements amounted to a(n) __________ of Koontz's land. a. affirmed, Kelo, unconstitutional taking b. reversed, Nolan and Dollan, unconstitutional taking c. reversed, Kelo, nonconforming use d. affirmed, Nolan and Dollan, unconstitutional taking