Fixed asset will be depreciated straight-line to zero

Assignment Help Operation Management
Reference no: EM131117444

Quad Enterprises is considering a new three-year expansion project that requires an initial fixed asset investment of $2.91 million. The fixed asset will be depreciated straight-line to zero over its three-year tax life, after which time it will be worthless. The project is estimated to generate $2,150,000 in annual sales, with costs of $845,000. If the tax rate is 30 percent, what is the OCF for this project? (Do not round intermediate calculations. Enter your answer in dollars, not millions of dollars, e.g. 1,234,567.)

Reference no: EM131117444

Questions Cloud

What factors affect the future movements in the value : What factors affect the future movements in the value of the euro against the dollar?
Disadvantages of using preferred stock in capital structure : Coogly has outstanding preferred stock That pays a dividend of $4 per share and sells for $82 per share, with a floatation cost of $6 per share. What is the component cost for Coogly's preferred stock? What are the advantages and disadvantages of usi..
Analyze and forecast a comparison of the population growth : Analyze and forecast a comparison of the population growth rate from 2010 through 2016 of the State of Michigan and your state. Provide these figures in your response for each year.
The five generic marketing situations : For each of the five generic marketing situations, identify uncontrollable and controllable factors that should be considered in the development of marketing strategies.
Fixed asset will be depreciated straight-line to zero : Quad Enterprises is considering a new three-year expansion project that requires an initial fixed asset investment of $2.91 million. The fixed asset will be depreciated straight-line to zero over its three-year tax life, after which time it will be w..
Why do some forecasts by well respected economists : Explain why a public forecast by a respected economist about future interest rates could affect the value of the dollar today. Why do some forecasts by well respected economists have no impact on today's value of the dollar?
The greatest total concentration of ions present : Homework 4 Page 1 Due: Sept. 23 Name _____________________ Chem 6 Sec. Number Homework Assignment 4 Due Sept. 23 (in lecture) Identify the following compounds as ionic or molecular. (See definitions on page 6 of study guide.)
Engaging in earnings management : "Discuss conditions under which managers are likely to have incentives to report lower earnings i.e. engaging in earnings management. You may compare and contrast these conditions under which managers likely ave incentives to report higher earnings."
Discuss two challenges an administrator should consider : Discuss at least two challenges an administrator should consider when preparing a trend analysis over a five year period. Justify your response.

Reviews

Write a Review

Operation Management Questions & Answers

  The supply chain design of the organization

Assigment: This is a very simple assignment. I want you to look at the supply chain design of the organization you are examining and answer the following questions.

  Calculate touring enterprises'' weighted average cost of

Calculate Touring Enterprises' weighted average cost of capital (WACC). Work as follows: first, compute the after-tax cost of debt, then compute the cost of equity. Cite both formulas, and show all your work.

  Which this discussion will be based

Here's the scenario on which this discussion will be based: You have just been hired to work in a start-up international company that is Miami-based. You are on the company development team to help determine which software to purchase for doing day-t..

  Understanding learning

"Understanding Learning" Please responds to the following: Analyze two of the four consequences of behavior, and illustrate an incidence where a combination of those two would occur together?

  Use a list to prepare your response

find deployed at Progressive insurance and briefly explain the role of that product in enabling Progressive's business. Use a list to prepare your response and be sure to respond to both parts of the question.

  Fundamental drawbacks associated with horizontal integration

From e-Activity, determine the fundamental drawbacks associated with horizontal integration. Suggest another corporate-level strategy that could redefine the Southwest business model and thus allow the company to increase its competitive advantage..

  Identify leadership styles associated with path-goal theory

Identify four leadership styles associated with path-goal theory. Explain each style and relate it to styles described in other theories. Can leaders exhibit more than one style?

  Plan to transform the organization

Think of an organization you have worked for or one with which you are very familiar.  Diagnose the need for change and present a plan to transform the organization, utilizing Kotter's 8-Step Approach.

  Write down the main purpose for foreign investment

what is the purpose for foreign investment regulations?list and discuss the foreign investment regulations.what are 2

  Identify and label the problem statement

The problem statement is separate from the 3 pages. Identify and label the problem statement as such and then write a 3 page introduction.

  Did goldsman have authority to do so

Brenda Smith was injured by a falling ceiling in a building owned by the Cynfax Corporation. She retained Floyd Goldsman as her attorney. Goldsman sued Cynfax on her behalf. On February 4, Cynfax’s insurer, the Cumberland Mutual Fire Insurance Compan..

  Many on-line department stores exist-provide unique shoping

Many on-line department stores exist and provide unique shopping experiences.  Can department stores do the same? Accordingly, if you were the Chief Marketing Officer at Macy’s what would you do to compete with this threat? Discuss very briefly.

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