User Account

All Pages

Determine payback period assuming inflation is negligible

Assignment Help Financial Accounting
Reference no: EM132813050

Question 1: An investment that costs $120,000 is estimated to reduce cash operating costs by $40,000 per year for 4 years. The required rate of return is 10 percent. Determine the payback period, assuming inflation is negligible.

Option 1: About 2.92 years
Option 2: About 2.66 years
Option 3: About 3 years
Option 4: About 2.79 years

Reference no: EM132813050

Questions Cloud

Find the cost of capital for a project for a private firm : How would one find the cost of capital for a project for a private firm given, the revenues, tax rate, depreciation of equipment?
Loss prevention officer is intoxicated while on duty : You are a loss prevention supervisor, and two company employees report to you that a loss prevention officer is intoxicated while on duty.
Process of compiling the protocol signature log : Describe the process of compiling the 'Protocol Signature Log' and the 'Standard Operating Procedure' attachment.
How much is the cost of goods sold for the year : Ending work in process inventory, $70,000; and ending finished goods inventory, $40,000. How much is the cost of goods sold for the year
Determine payback period assuming inflation is negligible : Cash operating costs by $40,000 per year for 4 years. The required rate of return is 10 percent. Determine the payback period, assuming inflation is negligible.
Trigger the change control process : Describe a process you could use to ensure that changes to a product or system are introduced in a controlled and coordinated manner.
Prepare purchase journal and sales journal of Ronaldo : Question - The following are transactions of Ronaldo Traders during the month of September 2004: Prepare purchase journal and sales journal of Ronaldo Traders
What is the socially efficient price : Let the aggregate inverse demand curve for household pesticide use be: P = 8 - 0.08Q, where Q is tons of pesticide used by households per month
Cyberespionage-government violating international law : Cyberespionage (Can write about cyber espionage that is occurring and/or allegations of a country/government violating international law or agreed treaties.

Reviews

Write a Review

Financial Accounting Questions & Answers

  How do the two companies roics compare

Calculate each companys ROE, ROA, and ROIC - Why is Company B's ROE so much higher than Company A's? Does this mean Company B is a better company

  Prepare the journal entries to record the issuance

Hot Springs Marine borrowed $20 million cash on December 1, 2011, to provide working capital for year-end inventory. Hot Springs Marine issued a 4-month, 9% promissory note to Third Bank under a prearranged short-term line of credit. Prepare the jour..

  What operation cash flow will be required each year

What operation cash flow will be required each year of the project to return 16% in nominal term? You are working on a bid for a contract.

  What is the maximum additional amount that otto can borrow

What is the maximum additional amount that Otto can borrow after the additional stock is issues? On Dec 31, 2019, OTTO Inc. has total assets of $414,000

  Calculate the incremental cash flows associated

Calculate the incremental cash flows associated with producing the chains in-house for years 0-10.

  Straight-line method and no salvage value

Listed below are the transactions of Newman Kawabata, D.D.S., for the month of September. Record depreciation using a 5-year life on the equipment, the straight-line method, and no salvage value. List of Accounts: Cash, Accounts Receivable, Rent Expe..

  Create simple plan in sketch form for a working spreadsheet

Create simple plan in sketch form for a working spreadsheet using the staff names should be input to Column A, with weeks one to four also in columns

  Which characteristics of segment not considered reportable

Which is characteristics of a segment is not considered reportable in AASB 8 "Operating Segments"? Reported revenue, both external and internal

  What should be the allocation of the property costs

A company paid $150,000, plus a 6% commission and $4,000. What should be the allocation of this property's costs in the company's accounting records?

  Will barkley company record a profit under term modification

Will the profit recorded by Barkley be equal to the loss recorded by American Bank under the debt restructuring? Will Barkley Company record a profit under the term modification mentioned above

  Which national and cultural differences manifest themselves

National and cultural differences manifest themselves in each of the following ways except? Accounting convention. / Personnel management

  Debit prepaid rent and credit rent expense

Working on a worksheet with an adjusting entry and the question is Included in the $28500 of rent expense is $200 that is prepaid rent for 2013. Would my adjusting entry be debit Prepaid Rent and credit Rent expense

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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