Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
"A highway contractor is considering buying a new trench excavator that costs $271,000 and can dig a 3-foot-wide trench at the rate of 20 feet per hour. The annual number of feet to dig each year is 6,300. The machine's production rate will remain constant for the first 4 years of the operation and then decrease by 3 feet per hour for each additional year. The maintenance and operating costs will be $54 per hour. The contractor will depreciate the equipment with a five-year MACRS. At the end of 5 years, the excavator can be sold for $63,000. The contractor will earn an additional annual revenue of $102,000 with this new machine. Assuming the contractor's tax rate is 34% per year, determine the net present worth of the cash flow from this machine. The company's MARR is 15%."
SHOW ALL WORK OR EXPLAIN EXCEL FORMULAS
Opening a series of new supermarkets is a major capital budgeting project for the company. Describe and discuss the main items on the income statement and balance sheet that you think will be impacted by this new undertaking. Explain why you chose th..
Leaf It To Us Corporation is considering an expansion project.
Assume that Salisbury Corporation is considering the establishment of a subsidiary in England. The initial investment required by the parent is $40,000,000. If the project is undertaken, Salisbury would terminate the project after four years. Listed ..
Auburn Concrete Inc. is considering the purchase of a new concrete mixer to replace an inefficient older model. If purchased, the new machine will cost $90,000 and is exacted to generate savings of 540.000 per year for five years at the end of which ..
Scholes Industries has a target capital structure consisting of 45% debt, 10% preferred stock, and 45% common equity. The before tax YTM on Scholes's long term bonds is 9.5%, its cost of preferred stock is 8%, and its cost of equity is 12.5% if the f..
Mr. Husker’s Tuxedos Corp. began the year 2015 with $278 million in retained earnings. The firm earned net income of $44 million in 2015 and paid dividends of $5 million to its preferred stockholders and $14 million to its common stockholders. What i..
Starting to invest early for retirement increases the benefits of compound interest. If the discount (or interest) rate is positive, the future value of an expected series of payments will always exceed the present value of the same series.
Yang Corp. is growing quickly. Dividends are expected to grow at a rate of 28 percent for the next three years, with the growth rate falling off to a constant 7.4 percent thereafter. Required: If the required return is 16 percent and the company just..
Consider a 20-year mortgage for $121860 at an annual interest rate of 4%. What are the monthly payments after refinancing?
What are the rates with continuous compounding. What is the forward rate for the six-month period beginning in 18 months.
Identify the main objective of managing cash flows.
A firm has a weighted average cost of capital of 9.6 percent and a cost of equity of 14.5 percent. What is the firm's cost of debt?
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd