Question 46
When making an investment decision, which THREE of the following are reasons why receiving $1 today is preferable to receiving $1 in the future?
Question 47
Place each performance measure against the correct perspective of the Balanced Scorecard for a company that operates a chain of hotels.
Question 48
A company must decide today whether to proceed with a proposed project. If the project proceeds, the initial investment of $150,000 would be made in one year's time. The benefit of the project would be a perpetuity of $22,000 per year commencing one year after the investment is made. The company's cost of capital is 14% per year.
To the nearest $100, what is the net present value of the project?
Question 49
It is often claimed that a two-part transfer pricing system offers a number of advantages to organizations which use it.
Which of the following statements is NOT an advantage of using a two-part transfer pricing system?
Question 50
A large supermarket is applying direct product profitability analysis to establish the profit earned by each of the products it sells.
Data for product P are as follows.
The shelf is stacked each time that all units are sold and there are no units of product P left unsold at the end of each day.
What is the direct product profit per unit of product P?
Give your answer to the nearest $0.01.