Compute the payback statistic for project

Assignment Help Financial Management

Reference no: EM131608909

Compute the Payback statistic for Project X and recommend whether the firm should accept or reject the project with the cash flows shown below if the appropriate cost of capital is 8 percent and the maximum allowable payback is 3 years. Time: 0 1 2 3 4 5 Cash flow: -2,000 300 650 900 725 500 rev: 12_06_2012 3.21 years, Reject 2.21 years, Reject 3.21 years, Accept 2.21 years, Accept

Reference no: EM131608909

Questions Cloud

What’s the loan effective annual rate : A loan is offered with monthly payments and a 14.25 percent APR. What’s the loan’s effective annual rate (EAR)?

Define mutator methods that allow user to set the numerator : Define a class called Fraction. This class is used to represent a ratio of two integers. Include mutator methods that allow the user to set the numerator.

Aircraft between regional hubs : You are an operator of a small regional airline flying 15 turboprop Dash-8 aircraft between regional hubs and looking to add three more aircraft to an already.

What was dollar return and percent return : A corporate bond that you own at the beginning of the year is worth $900. What was your dollar return and percent return?

Compute the payback statistic for project : Compute the Payback statistic for Project X and recommend whether the firm should accept or reject the project with the cash flows

Define class called odometer that will be used to track fuel : Define a class called Odometer that will be used to track fuel and mileage for an automobile. The class should have instance variables to track the miles.

Unbiased expectations theory : Unbiased Expectations Theory Suppose that the current one-year rate (one-year spot rate) and expected one-year T-bill rates over the following three years

Advantages of studying consumer behavior : 1. A. What are the advantages of studying consumer behavior from the perspective of the family life cycle versus age?

Prepare the cash receipts budget for the second quarter : Prepare the cash receipts budget for the second quarter. Prepare the purchases budget for second quarter. Prepare the cash payments budget for second quarter.

User Account

All Pages