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What would happen to the npv and pi for each project if the required rate of the return increased?
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What are the three basic factors that influence the required rate of return for an investor?
1. real rate of return 2. inflation premium 3. risk premium
What do astronomers measure to estimate the distance and motion of a galaxy?
they transmit radio wave frequency to space and check for the their return or reflecting time , same as that used to calculate speed of light, for calculating the distance of galaxy. if the return radio frequency has increased, then they are moving closer to earth and vice versa. thank you
What might happen if the cycle were broken and used water could not return to the water cycle?
There will be no rain and soon there will be no water to drink, no more animals (will die from lack of water) and no more plants
When the temperature falls wator vapor can change into?
With falling temperatures, the water vapour will condense and return to liquid. This condensation will also happen when warm moist air in a room, meets the cold surface of a window.
Which factor would most likely cause communications satellite orbiting earth to return to earth from its orbit?
That will happen if the satellite loses energy. This is usually caused by air resistance, if the satellite's orbit is too low.
If the required rate of return is 11 the risk free rate is 7 and the market risk premium is 4 If the market risk premium increased to 6 percent what would happen to the stocks required rate of return?
If the required rate of return is 11 the risk free rate is 7 and the market risk premium is 4 If the market risk premium increased to 6 percent what would happen to the stocks required rate of return?
How does a change in the required rate of return affect project's Internal Rate Of Return?
A change in the required rate of return will affect a project's Internal Rate of Return (IRR) by potentially shifting the project's feasibility. If the required rate of return increases, the project's IRR needs to be higher to be considered acceptable. Conversely, a decrease in the required rate of return could make the project's IRR more attractive.
If a project with conventional cash flows has a profitability index equal to 1.0 the project you will pay back during the life of the project II will have an internal rate of return that equals the?
required return
Relationship between required rate of return and coupon rate on the value of a bond?
required rate of return is the 'interest' that investors expect from an investment project. coupon rate is the interest that investors receive periodically as a reward from investing in a bond
What happens if the IRR is greater than the required rate of return?
The IRR rule states that if the internal rate of return (IRR) on a project or investment is greater than the minimum required rate of return - the cost of capital - then the decision would generally be to go ahead with it. Conversely, if the IRR on a project or investment is lower than the cost of capital, then the best course of action may be to reject it.
How did childbirth customs change after the Industrial Revolution?
The return to natural childbirth increased and fewer women required medication during delivery
What is minimum rate of return?
It is the lowest return on project or investment that will make the firm or investor to accept that project.
What is minimum attractive rate of return?
It is the lowest return on project or investment that will make the firm or investor to accept that project.
Explain why a characteristic of an efficient market is that investments in that market have zero NPVs?
On average, the only return that is earned is the required return-investors buy assets with returns in excess of the required return (positive NPV), bidding up the price and thus causing the return to fall to the required return (zero NPV); investors sell assets with returns less than the required return (negative NPV), driving the price lower and thus the causing the return to rise to the required return (zero NPV).
When did Return Fire happen?
Return Fire happened in 1995.
When did Return to Zork happen?
Return to Zork happened in 1993.
When did Return of Medusa happen?
Return of Medusa happened in 1991.
