Compute the payback period in years

Assignment Help Basic Statistics
Reference no: EM131954608

Consider an investment with an initial cost (=outflow) of -$20,000 and is expected to last for 5 years. The expected cash inflows in years 1 and 2 are $5,000, in years 3 and 4 are $5,500 and in year 5 is $1,000. The total cash inflow is expected to be $22,000 or an average of $4,400 per year. Compute the payback period in years.

Reference no: EM131954608

Questions Cloud

Determine the total cost of production for each of options : Suppose that a firm's production function is Q = K^2 x L^2. Determine the total cost of production for each of these options. Which one should the firm choose?
Company weighted average cost of capital : What is the company's weighted average cost of capital. Use the dividend discount model. Show calculations.
Write down a production function which exhibits increasing : Write down a production function (with any number of inputs) which exhibits increas-ing returns to scale, but which isn't homogeneous of any degree.
Its promised yield to maturity : Assume that you purchased an 8 percent, 20-year, $1,000 par, semiannual payment bond priced at $1,012.50 when it has 12 years remaining until maturity.
Compute the payback period in years : The total cash inflow is expected to be $22,000 or an average of $4,400 per year. Compute the payback period in years.
What aspects of banking does each agency regulate : What principal agencies are responsible for the regulation and supervision of commercial banks? What aspects of banking does each agency regulate?
Find the debt-to-equity ratio for the firm : Find the debt-to-equity ratio for the firm. (use Total Liabilities for debt)
New value for retained earnings : The firm expects to post net income of $994,076.00 in 2013. If the firm has a dividend payout ratio of 40.00%.
What is the cost of equity : Investors expect the dividend to grow indefinitely at a constant rate of 10% per year. The company's tax rate is 40%. What is the cost of equity?

Reviews

Write a Review

Basic Statistics Questions & Answers

  Statistics-probability assignment

MATH1550H: Assignment:  Question:  A word is selected at random from the following poem of Persian poet and mathematician Omar Khayyam (1048-1131), translated by English poet Edward Fitzgerald (1808-1883). Find the expected value of the length of th..

  What is the least number

MATH1550H: Assignment:  Question:     what is the least number of applicants that should be interviewed so as to have at least 50% chance of finding one such secretary?

  Determine the value of k

MATH1550H: Assignment:  Question:     Experience shows that X, the number of customers entering a post office during any period of time t, is a random variable the probability mass function of which is of the form

  What is the probability

MATH1550H: Assignment:Questions: (Genetics) What is the probability that at most two of the offspring are aa?

  Binomial distributions

MATH1550H: Assignment:  Questions:  Let’s assume the department of Mathematics of Trent University has 11 faculty members. For i = 0; 1; 2; 3; find pi, the probability that i of them were born on Canada Day using the binomial distributions.

  Caselet on mcdonald’s vs. burger king - waiting time

Caselet on McDonald’s vs. Burger King - Waiting time

  Generate descriptive statistics

Generate descriptive statistics. Create a stem-and-leaf plot of the data and box plot of the data.

  Sampling variability and standard error

Problems on Sampling Variability and Standard Error and Confidence Intervals

  Estimate the population mean

Estimate the population mean

  Conduct a marketing experiment

Conduct a marketing experiment in which students are to taste one of two different brands of soft drink

  Find out the probability

Find out the probability

  Linear programming models

LINEAR PROGRAMMING MODELS

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd