Multiple Choice
Your forecast shows $500,000 annually in sales for each of the next three years.If your second and third year predictions have failed to incorporate 2.5% expected annual inflation, how far off in total dollars is your three-year forecast?
A) $37,813
B) $50,000
C) $52,550
D) $76,250
Correct Answer:
Verified
Correct Answer:
Verified
Q22: What nominal annual return is required on
Q26: A five-year project requires an additional commitment
Q27: One can continue to earn CCA tax
Q28: At current prices and a 13 percent
Q29: A new, more efficient machine will last
Q52: How should the cash flows of a
Q56: Offer examples to confirm that firms do
Q62: The primary difficulty in the allocation of
Q64: The total depreciation tax shield equals the
Q98: In project analysis, allocations of overhead should