A, B and C are solidary debtors for the amount of P45,000 from F. Mr. B has already paid P20,000 to F. How much can F further collect from B? O P5,000 O None. It has already exceeded the share of B. O P25,000 Another P20,000

Q: What is market value ratio?

A: Ratio is the relation between two different quantities obtained after dividing one by another.

Q: Which are the Methods for Finding Rate of Return?

A: A Rate of Return (ROR) is the gain or loss of an investment over a certain period of time. When the…

Q: lue (NPV) anc g decisions? Pl

A: Introduction : Net present value  can be understood as the value which depicts the actual worth…

Q: Define the term internal rate of return?

A: The internal rate of return (IRR) is a capital budgeting metric used to gauge the benefit of…

Q: he net present value is incorrect. Can you try the problem again?

A: Net Present Value (NPV) The difference between the present value of the cash outflow and inflow at…

Q: the interest is nominal is that still good for this answer?

A: Formula used is: (1+Real rate) *(1+Inflation rate)= (1+ Nominal rate)

Q: What is net present value?

A:

Q: What is the internal rate of return?

A: Internal rate of return is the discount rate at which present value of cash inflows equals outflows…

Q: What is the horizon value? Why is it also called the terminal valueor continuing value?

A: Horizon value is the value of the expected dividend that will be received after the horizon date.

Q: What is the significance of finding the internal rate of return?

A: IRR helps to check the viability of the project. If IRR is more than Kc than Project seems to be…

Q: What is the math behind the net present value calculation?

A: Net present value is based on capital budgeting technique. Net present value is used to measure the…

Q: Is an higher NPV better than a lower NPV and why?

A: The net present value is the difference between sums of the present value of cash inflows and…

Q: What is the difference between the possible returns and the expected return?

A:

Q: What is future value, FV?

A: Future Value: The future value is the value of the present amount compounded at an interest rate…

Q: Finish the formula for Simple Interest. I = Simple intrest, P = Principle, R = rate and T = time.

A: Simple interest is the simplest method of calculating the interest charged on the loan. The simple…

Q: How can we obtain an equal-payment series equivalent to the gradient series?

A: The question is based on the concept of gradient series of payments, which is used in equivalent…

Q: What is limitation of Payback period, Net Present Value (NPV) and Internal rate of return (IRR).…

A: i) Payback period: Payback period is the expected time period which is required to recover the cost…

Q: What is discounting and compounding? What is the difference between them?

A: We need to use the equation of time value of money to explain the concept of discounting and…

Q: Which of the following is not a variable in the basic present value equation? Multiple Choice…

A: Investors are holding securities for the purpose of gaining the returns. The return is calculated…

Q: What do we mean by internal rate of return (IRR)?

A: Internal rate of return : Internal rate of return is one of the techniques used in capital budgeting…

Q: Describe the process of computing the PW for this infinite series which is reffered to as the…

A: An infinite series of cash flows is also known as “perpetuity”. In the case of perpetuity, a fixed…

Q: What is the decision rule for payback?

A: Payback period is the period of time taken by the project to recover the investment in such project…

Q: What is the conventional-payback method?

A: Conventional Payback Method

Q: How can I calculate the NPV of an investment?

A: Net present value:- Net present value is the investment evaluation technique, where we evaluate…

Q: Describe the Methods for Finding Rate of Return?

A: Capital budgeting is the process a company follows to decide whether to purchase a fixed asset or…

Q: WHat is the NPVof this investment?

A: Given: Debt ratio 40% Required return 11% Cost of debt 6% Initial investment $48,000 Tax…

Q: Why would the yield curve invert?

A: In finance yield curve is that line that shows yields (or interest rates) of those debt instruments…

Q: Define the term Rate of Return?

A: Rate of Return:It means the benefit that is derived from the investment, benefit may be in terms of…