Question: Explain using a few sentences what the difference is between an accounting (accounting profit) zero point and a financial (present value) zero point. What is

Explain using a few sentences what the difference is between an accounting (accounting profit) zero point and a financial (present value) zero point. What is the main reason why they generally give different results?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Explain using a few sentences what the difference is between an accounting (accounting profit) zero point and a financial (present value) zero point. What is the main reason why they generally give...

Revenue minus variable and fixed costs best describes: EBIT. EBITDA. NOPAT. EAT. QUESTION 2 Compared to an identical project with a lower proportion of fixed costs, a project with a higher proportion...

Mutiple Choice question: Question 1: Revenue minus variable and fixed costs best describes: EBIT. EBITDA. NOPAT. EAT. QUESTION 2 Compared to an identical project with a lower proportion of fixed...

Revenue minus variable and fixed costs best describes: EBIT. EBITDA. NOPAT. EAT. 2 points QUESTION 2 Compared to an identical project with a lower proportion of fixed costs, a project with a higher...

Depreciation and amortization are treated like fixed costs: in the calculation of the degree of pretax cash flow operating leverage. in the calculation of the degree of accounting operating leverage....

Managerial accounting information: Is used mainly by external users. Involves gathering information about costs for planning and control decisions. Is generally the only accounting information...

BLC Inc. is a medium-sized manufacturing company based in the UK. The company operates mainly in the London area and is based in Peterborough. At a recent board meeting, the company decided to expand...

Please scan the SEC Plain English that I've attached. Please visit to this link.http://www.sec.gov/Archives/edgar/data/320193/000119312513416534/d590790d10k.htm#toc590790_9 Please read pages 25...

1)Widget Manufacturing has just completed a major change in its quality control (QC) process. Previously, QC inspectors had reviewed products at the end of each major process, and the company's 10 QC...

Using Table 21-1, determine the maximum and minimum MRR values for rough machining (turning) a 1020 carbon steel with a BHN value of 200. Repeat for finish machining assuming a DOC value equal to 10%...

The role of management accountants has been well-known to the corporate world as they widely contribute for performing planning, controlling and decision making functions effectively and efficiently...

clean this upVertical and horizontal analysis are a fundamental part of financial analysis for companies, and organizations for identifying things such as trends over time and focuses on performance...

Add "Viggo Mortenslet cast = new Map ( ) ;en " to the cast as the key, with value "Aragorn".