Evaluate the risk of each proposed project and rank

Assignment Help Finance Basics

Reference no: EM13302653

Project Initial Investment Details
A $ 35,000 Replace existing office furnishings.
B 500,000 Purchase digital film-editing equipment for use with several existing accounts.
C 450,000 Develop proposal to bid for a $2,000,000 per year 10-year contract with the U.S. Navy, not now an account.
D 685,000 Purchase the exclusive rights to market a quality educational television program in syndication to local markets in the European Union, a part of the firm's existing business activities

The media services business is cyclical and highly competitive. The board of directors has asked you, as chief financial officer, to do the following:

a. Evaluate the risk of each proposed project and rank it "low," "medium," or "high."
b. Comment on why you chose each ranking.

Reference no: EM13302653

Questions Cloud

The role of ethics in business : The role of ethics in business

Find the length of time required for block to begin to slip : The circular disk shown rotates in a horizontal plane. A 3-lb block rests on the disk 8 in. from the axis of rotation. find the length of time required for the block to begin to slip

Determine what is the present worth of benefit : A flood control project has a construction cost during the first year of $10 million, during the second year $6 million, and during the third year $2 million. It is completed at the end of the third year and thereafter incurs an annual operating c..

Determine the payback period for each machine : The second machine requires an initial investment of $21,000 and provides an annual cash inflow after taxes of $4,000 for 20 years.

Evaluate the risk of each proposed project and rank : Evaluate the risk of each proposed project and rank it "low," "medium," or "high."

Compare and contrast online brokerage to dips and drips : Search the Web for three companies (look for investor information) that offer DIPs or DRIPs and compare and contrast the requirements, including minimum investments, nature of the return, costs, and other features.

What is the radius of gyration of the tire : To determine the radius of gyration of a tire, an engineer lets the tire roll down an inclined surface. what is the radius of gyration of the tire

How to solve for the deficit concentration as function of x : Develop the mass balance equation and solve for the deficit concentration as a function of x, u, Lo, Do, ka, kd,and ks in the stream. Lo ans Do are the initial concentrations of BOD and DO deficit in the stream at x

What is the turntables angular speed : A 2.0 kg, 20-cm-diameter turntable rotates at 100 rpm on frictionless bearings. Two 500 g blocks fall from above, What is the turntable's angular speed

User Account

All Pages