Journal: Budgeting
Work through a real-world scenario and calculate the net present value based on
the revenue of a sport organization of your choice.
Read the following article: What Are the Advantages and Disadvantages of the Net Present Value Method?
https://www.fool.com/knowledge-center/advantages-and-disadvantages-of-net-present-value.aspx
Next, read and respond to the following scenario: Your sport organization wants to expand its football stadium
and build five new luxury suites. We will assume that each suite will provide 10 years of revenue, and that each
suite generates $25,000 per year. The total construction cost of the suites is $500,000.
Specifically, the following critical elements must be addressed:
I. Calculate the net present value based on the revenue of a sport organization.
II. Assume the rate of return is 10%. Identify the pros and cons of this investment.
III. Identify whether this investment is a good idea financially.
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Sample Solution
Highlighting similarities and differences among cells
There are two basic types of cells, prokaryotic cells and eukaryotic cells. Prokaryotic cells comprise bacteria and archaea. Their DNA is not contained within a nucleus. Eukaryotic cells are found in plants, animals, fungi, and protists. Their DNA is contained within a membrane-bound nucleus. Although they have many differences, both prokaryotic and eukaryotic cells have structures in common. All cells have a plasma membrane, ribosomes, cytoplasm, and DNA. The plasma membrane, or cell membrane, is the phospholipid layer that surrounds the cell and protects it from the outside environment. Ribosomes are the non-membrane bound organelles where proteins are made, a process called protein synthesis.
