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NEW QUESTION: 1
Vanderheiden Inc. is considering two average-risk alternative ways of producing its patented polo shirts.
Process S has a cost of $8,000 and will produce net cash flows of $5,000 per year for 2 years. Process L will cost $11,500 and will produce cash flows of $4,000 per year for 4 years. The company has a contract that requires it to produce the shirts for 4 years, but the patent will expire after 4 years, so the shirts will not be produced after 4 years. Inflation is expected to be zero during the next 4 years. If cash inflows occur at the end of each year, and if Vanderheiden's cost of capital is 10 percent, by what amount will the better project increase Vanderheiden's value?
A. $1,098.89
B. $1,179.46
C. $677.69
D. $1,237.76
E. $1,312.31
Answer: D
Explanation:
Explanation/Reference:
Explanation:
0 k = 10%1234
S
-8,0005,0005,0005,0005,000
-8,000
-3,000
IRR(S) = 16.26%.
NPV(S) = $1,237.76. (extended NPV)
0 k = 10%1234
L
-11,5004,0004,0004,0004,000
IRR(L) = 14.66%.
NPV(L) = $1,179.46.

NEW QUESTION: 2
Amazon RDSの自動バックアップとDBスナップショットは、現在のところ、
__________貯蔵エンジン
A. InnoDB
B. MyISAM
Answer: A

NEW QUESTION: 3
When a business analyst is using alternative generation, what should she always include as an output?
A. The cost of all requirements, some requirements, and a few core requirements
B. The option of doing nothing
C. The schedule of implementation for each solution
D. The cost of each solution
Answer: B
Explanation:
Explanation/Reference:
Whenever generating alternatives, the business analyst should always include the option of doing nothing.
A is incorrect. The best answer is to include the option of doing nothing; the cost of the
requirements isn't an in-depth consideration at this point.
B is incorrect. The schedule for the implementation is often considered, but the option of doing
nothing should always be considered.
D is incorrect. The cost of each solution isn't the best choice for this question.