User Account

All Pages

Kiosk in the local mall for a period of three months

Assignment Help Finance Basics
Reference no: EM132497735

You are considering renting a kiosk in the local mall for a period of three months. Any sale you make will be a one-time sale. The probability that you will collect payment on a credit sale is 92 percent. The product you want to sell has a variable cost of $3.76 and a sales price of $4.99. The monthly interest rate is 1.35 percent. Should you offer people 30 days to pay? Why or why not?

Group of answer choices

No; because the NPV of a credit sale is -$.08

Yes; because the NPV of a credit sale is $.09

Yes; because the NPV of a credit sale is $.77

No; because the NPV of a credit sale is -$.02

Yes; because the NPV of a credit sale is $1.03

Reference no: EM132497735

Questions Cloud

Intense seasonal demand for loans : As the executive of a bank or thrift institution you are faced with an intense seasonal demand for loans.
Discuss the article historical accuracy in the film agora : Discuss the article Historical Accuracy in the Film Agora. According to the article, which parts of the film are historically accurate and which parts are not?
Account value currently in terms of 2003 dollars : For some strange reason, you think of all your investments in terms of 2003 (17 years ago) dollars. What is the account's value currently in terms of 2003 dolla
AFE4005 Introduction to Accounting Assignment : AFE4005 Introduction to Accounting Assignment help and solution, University of Bradford - assessment writing service - briefly what action management can take
Kiosk in the local mall for a period of three months : You are considering renting a kiosk in the local mall for a period of three months. Any sale you make will be a one-time sale.
What is the view on lgbtq rights and abortion : What are the origins of your selection? (Include if your religion started because they were not satisfied with another religion Do they believe in an afterlife
Afn equation to forecast broussard additional : Broussard Skateboard's sales are expected to increase by 25% from $8.6 million in 2019 to $10.75 million in 2020. Its assets totaled $4 million at the end of 20
Describe the differences between groups or times : Research studies often compare variables, conditions, times, and/or groups of participants to evaluate relationships between variables or differences between.
What excites you about becoming a teacher : The author of this text believe that this is an exciting time to become a teacher. Do you agree? What excites you about becoming a teacher?

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd