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3 pages/≈825 words
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Style:
APA
Subject:
Accounting, Finance, SPSS
Type:
Research Paper
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English (U.S.)
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Week 2 assignment. Research Paper on Opportunity Cost.

Research Paper Instructions:

InstructionsYou are asked to complete Research Papers in Units II, IV, VI, and VII. A Research Paper is an opportunity for you to practice and improve your research and writing skills. Plus, it allows you to review the details that others have observed and researched in the industry.Search reliable sources. Write a paper on one of the major topics listed below and incorporate at least five (5) other related empirical studies of your choice.The purpose of this Research Paper is for you to culminate the learning achieved in the course by describing your understanding and application of knowledge in the field of accounting. The paper must: Identify the main issues in the chosen area. Contain and reference new learning that has occurred. Build upon class activities or incidents that facilitated learning and understanding. Present specific current and/or future applications and relevance to the typical workplace.The Research Paper should also focus on real-life, real-time application of topics covered in this course, the uses you have seen and the uses you can envision.The Research Paper: Must be two to four double-spaced pages in length (not including the title page, table of contents and references page). Must include a cover page that includes:o Student’s name,o Course name and number,o Title of paper,o Instructor’s name, ando Date submitted. Must address the topic of the paper with critical thought. Must use at least five empirical studies as references.Format your Research Paper using APA style. Use your own words, and include citations and references as needed to avoid plagiarism.Click here to access a PDF of the Research Paper Template.Click here to access a PDF of the Research Paper Grading Rubric.Search the CSU Online Library and other reliable sources. Write a paper on one of the major topics listed below and incorporate at least five other related empirical studies of your choice: Research the topic of opportunity cost of capital. When writing your paper, be sure to answer the following questions, in addition to providing any other information you wish to include. What are opportunity costs and their benefit? What is net present value? Can it ever be negative? Discuss at least two types of alternative investment criteria and how they are used by managers to make decisions? Research the topic of capital budgeting. When writing your paper, be sure to answer the following questions, in addition to providing any other information you wish to include. Discuss at least two types of alternative investment criteria and how they are used by managers to make decisions? Why are discounted cash flow methods of making capital budgeting decisions superior to other methods? Research the topic of accounting’s role in an organization’s architecture. When writing your paper, be sure to answer the following questions, in addition to providing any other information you wish to include. What is accounting’s role in an organization’s structure? Does it extend behind the brick and mortar? What are executive compensation contracts? How are they accounted for? Research the topic of basic building blocks and agency cost. When writing your paper, be sure to answer the following questions, in addition to providing any other information you wish to include. How are agency costs generated, and what limits them? How are self-interested behavior, team production, and agency costs related to each other? What is the common thread? How do they serve as the building blocks of managerial accounting?

Research Paper Sample Content Preview:

Research Paper on Opportunity Cost
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Introduction
The investment returns that an entity drops when it chooses to use invest in an internal project rather than using the money on a prime investment is known as Opportunity capital cost. When the anticipated yield on commercial security is more than the intended internal project, then it is good to reject the internal plan. The discounted rate (social-economical) gets used to determine the NPV of a project to determine whether the costs are worth undertaking (Chun-Yan & Glenn Jenkins, 2007).
The opportunity capital cost is, therefore, the amount of money one could make by making a different investment decision. Thus, there is no actual loss, as there is no risk. Empirical Studies
An application of opportunity capital cost in the world has been in Canada, where it gets used in determining and updating the empirical estimate of the economic discount rate to be applied in that country. The fact it operates in the capital market globally, the cost at which it pays for its capital formation from outside, will be determined by its intensity. Thus, the opportunity cost of capital does determine the right channels to raise money globally without jeopardizing its economy.
The Mexican case on the estimation of public projects investment and the related economic opportunity cost is another good case of empirical exercise. This case established that for a successful investment in public projects, a government should combine estimation models to determine the consistency of the results and determine economic opportunity cost after five years (Dang, 2019).
Benefits for Opportunity Cost
A plan to invest takes an extended period to actualize, and thus its appraisal requires a comparison of the costs and benefits over the project's entire life. The value of the project's expected returns should be more than the current amount of its likely expenses. The company could have a set of mutually related plans; thus, the one with the highest net present value (NPV) will be. This is called a cost-benefit analysis of an investment.
The other benefit is the relative price. This involves comparing relative prices and the returns of each choice/alternative available for the business to select the one that offers the best value. In the case of the opportunity cost of capital, relative price provides a variety of choices. Also, it helps make decisions on the current and future implications of cost for each project before investing.
NPV
NPV is a financial metric tool, defined as the difference be...
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