The Grubel‐Lloyd index can be used to measure the extent of intra‐industry trade. Assume that the Netherlands tomato export equals an amount of € 6 billion, while the import has a value of € 2 billion. The Grubel-Lloyd index is:

1.5

0.75

None of the above

0.5

0.6

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Capital Investment Appraisal As the company's Financial Analyst, you have been tasked to attend a high-level tradeshow in Columbia. The purpose is to view and purchase two heavy duty machines to use in the production, bottling and packaging of the company's new line of soda pops. The projected net cashflows for two (2) machinery the company is considering investing in are as follows. Predicted Cash Flows Years Machine A: The Mega Star2022 SUSD (S25 million) Machine B: Turbo Mac2022 SUSD ($20 million) 2 4 6 8 9 10 Required A. Utilize capilal investment appraisal techniques to determine which Machine should be pursued for the selected period based on the initial cost of $25 million and S20 million respectively, and a cost of capital of 10%. B. Prepare a written report and PowerPoint presentation to the CEO of the company on the projects being considered. C. Make recommendations for your choice and give your rationale. Guiding topics of focus: 1. Provide an overview of the types of discounted and non-discounted capital appraisal techniques used to make capital budgeting decisions. 2. Discuss the financial health of the company. 3. Justify the capital investment techniques to be used to assess the projects, giving advantages and disadvantages of each. 4. Based on the results achieved from the investment techniques used make recommendations with justifications for your choice. Capital Investment Appraisal As the company's Financial Analyst, you have been tasked to attend a high-level tradeshow in Columbia. The purpose is to view and purchase two heavy duty machines to use in the production, bottling and packaging of the company's new line of soda pops. The projected net cashflows for two (2) machinery the company is considering investing in are as follows. Predicted Cash Flows Years Machine A: The Mega Star2022 SUSD (S25 million) Machine B: Turbo Mac2022 SUSD ($20 million) 2 4 6 8 9 10 Required A. Utilize capilal investment appraisal techniques to determine which Machine should be pursued for the selected period based on the initial cost of $25 million and S20 million respectively, and a cost of capital of 10%. B. Prepare a written report and PowerPoint presentation to the CEO of the company on the projects being considered. C. Make recommendations for your choice and give your rationale. Guiding topics of focus: 1. Provide an overview of the types of discounted and non-discounted capital appraisal techniques used to make capital budgeting decisions. 2. Discuss the financial health of the company. 3. Justify the capital investment techniques to be used to assess the projects, giving advantages and disadvantages of each. 4. Based on the results achieved from the investment techniques used make recommendations with justifications for your choice.

Answer rating: 100% (QA)

Answer The GrubelLloyd index is B 075 This index measures the extent of intrain... View the full answer