Fin 320f unit 1 Study guides, Class notes & Summaries

FIN 320F Unit 11, 12 & 13 Working Words and Application Problems Graded A+ What is "economic value added" (EVA) and how is it calculated? Economic value added (EVA) is calculated by subtracting the company's cost of capital from its net operating profit after taxes (NOPAT). It measures a company's financial performance and value creation. How does "debt-to-equity ratio" impact financial risk? The debt-to-equity ratio compares a company's total debt to its shareholders' equit...

Describe how NPV is calculated and describe the information this measure provides about a sequence of cash flows. What is the NPV criterion decision rule? PV is the sum of the present values of a project's cash flows. It's a way of doing cost-benefit analysis.For most projects their cash flows occur at different points in time. A valid comparison is possible only if these cash flows can be restated as of a single point in time. This involves using the opportunity cost, which reflects the basi...

FIN 320F Unit 11, 12 & 13 Working Words and Application Problems Study Questions and Answers | 100% Pass Describe how NPV is calculated and describe the information this measure provides about a sequence of cash flows. What is the NPV criterion decision rule? - Answer️️ - PV is the sum of the present values of a project's cash flows. It's a way of doing cost- benefit analysis.For most projects their cash flows occur at different points in time. A valid comparison is possible only if...

Human beings can be characterized by 3 elements, which are... - correct answer incentives (evaluative), maximization (imperfectly), resourcefulness What is often the most important incentive for people? - correct answer money What is dismal science? - correct answer The natural constraint of resources (all resources, such as water, electricity, roads, food) makes economics What...

FIN 320F Exam 1 Working Words (Duvic) Q&A with Complete Solutions Already Graded A+ UNIT 1 - Incentives - Something that motivates a person to take or avoid taking an action. Resources - Physical or intangible assets that can be used to accomplish a goal. Confirmation Bias - The tendency to process information by looking for, or interpreting information that is consistent with one's existing beliefs. Encyclopaedia Brittanica Economic activity - The production, distribution and consu...