User Account

All Pages

Determine the preferred alternative

Assignment Help Finance Basics
Reference no: EM133110737

An unavoidable cost may be met by outlays of $85,000 now and $6,000 at the end of every six months for four years (Alternative 1) or by making monthly payments of $1,770 for eight years (Alternative 2). Interest is 8% compounded quarterly. Compute the present value of each alternative and determine the preferred alternative according to the discounted cash ?ow criterion. The present value of Alternative 1 is $D. (Round the ?nal answer to the nearest dollar as needed. Round all intermediate values to six decimal places as needed.)

Reference no: EM133110737

Questions Cloud

Calculate the payback period of the project : Also calculate- the payback period of the project and the discounted payback period. What is the 'payback period' and discuss its utility and drawbacks.
What is the amount of the borrower check : On the maturity date of a $7,800, 3-month, 8% note, the borrower sends a check. What is the amount of the borrower check
What is the debit to retained earnings : Market price per common share on this date was $25. What is the debit to Retained Earnings for the value of the stock dividend?
Discuss companies use of packaging-labeling : Discuss companies' use of packaging, labeling, and warranties as marketing tools. What are some current issues in the news?
Determine the preferred alternative : An unavoidable cost may be met by outlays of $85,000 now and $6,000 at the end of every six months for four years (Alternative 1) or by making monthly payments
Determining the gross income : If she eleds to take a distribution from Tim's profit- sharing plan in 2023, to what extent will she be required to include it in her gross income?
The change management process-saudi vision : Explain what additional changes the organization must make to further align with the goals and objectives set forth by Saudi Vision 2030.
Can topiary also be charged with this offense : The Office of the Public Prosecutor now wants to charge Declan with attempted murder. Can Topiary also be charged with this offense
Shares of doggie treats inc : You sold short 200 shares of Doggie Treats Inc. when they traded at $25 per share. The money you put up in your equity account was $2,000.

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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