Find npv using company cost of capital value

Assignment Help Finance Basics
Reference no: EM132059697

Question: A project has an initial outlay of $4, 272. It has a single payoff at the end of year 10 of $9, 877. What is the net present value (NPV) of the project if the company's cost of capital is 9.94 percent? Round the answer to two decimal places. The response must be typed, single spaced, must be in times new roman font (size 12) and must follow the APA format.

Reference no: EM132059697

Questions Cloud

Evaluate the project mirr : Project L costs $60,000, its expected cash inflows are $13,000 per year for 8 years, and its WACC is 9%. What is the project's MIRR? Round your answer.
Find the rate of change of f with respect : (a) Find the rate of change of F with respect to(?). (b) When is this rate of change equal to 0?
Calculate the total incremental cost : Gilberto Company currently manufactures 60,000units per year of one of its crucial parts. Calculate the total incremental cost of making 60,000 units
Find the x-coordinates where : Find the x-coordinates where f '(x) = 0 for f(x) = 2x + sin(2x) in the interval [0, 2p].
Find npv using company cost of capital value : A project has an initial outlay of $4, 272. It has a single payoff at the end of year 10 of $9, 877. What is the net present value (NPV) of the project.
What three elements are needed to value a resource : What three elements are needed to value a resource when using cash flows? Explain. Why are these the case?
What was the percentage mark up on full cost : Waterbury, Inc. manufactures and sells RF17, a specialty raft used for whitewater rafting. What was the percentage mark up on full cost
Examine should the firm accept the project : What is the NPV for the project if the required return is 7 percent? (Do not round intermediate calculations. Round your answer to 2 decimal places, e.g., 32.16
Determining the arithmetic sequence : The first term, a1, in an arithmetic sequence is 8; the fourth term, a4, is 6. How many terms must be added to have the sum, Sn, of the terms equal 42?

Reviews

Write a Review

Finance Basics Questions & Answers

  What is the present value of her inheritance

Pam Gregg is expecting cash flows of $50,000, $75,000, $125,000, and $250,000 from an inheritance over the next four years. If she can earn 11 percent on any investment that she makes, what is the present value of her inheritance? (Round to the ne..

  What is the initial project cash flow needed for net working

Brennan's Boats is considering a project which will require additional inventory of $128,000 and will also increase accounts payable by $47,000 as suppliers are willing to finance part of these purchases. Accounts receivable are currently $85,000 and..

  Measurement of value to the shareholder

For valuation, should you compare book value with market value as a measurement of value to the shareholder? Please explain why or why not.

  Define the monopolist rule for the profit-maximizing output

What is the monopolist's rule for determining the profit-maximizing output? What two steps does the monopolist follow to maximize profits?

  What must be price of an at-the-money european call option

what must be price of an at-the-money European call option on stock with 1 year maturity.

  What is the relevant cost of the new building

An environmental impact study required by the state was performed at a cost of $48,000. For capital budgeting purposes, what is the relevant cost of the new building?

  Define property-level performance attribution

Why is property-level performance attribution usually best done based on the cross-sectional average IRR?

  What new level of sales and accounts receivable

What new level of sales and accounts receivable would result from this change? Assume 365 days per year.

  Write a paper of no more 1050 words that defines analyzes

your company is thinking about acquiring another corporation. you have two choicesmdashthe cost of each choice is

  Saving for the down payment

You want to buy a house within 3 years, and you are currently saving for the down payment. You plan to save $5,000 at the end of the first year, and you anticipate that your annual savings will increase by 10% annually there after. Your expected a..

  Which of the two stocks is relatively riskier

The stocks of Spaulding (S) and Johnson (J) Corporations have the following risk and return statistics: E(rJ) = 14%, ?J = 22%; E(rS) = 16%, ?S = 25%. [Round any calculation to two decimal points]

  What is the liquidity premium on keys bonds

What is the liquidity premium (LP) on Keys' bonds?

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!

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