How long will it take to pay back the initial investment

Assignment Help Operation Management
Reference no: EM131894984

PAYBACK PERIOD. Your company is seriously considering investing in a new project opportunity, but cas flow is tight.

Top management is concerned about how long it will take for this new project to pay back the initial investment of $50,000.

You have determined that the project should generate inflows of $30,000, $30, 000, $40,000, $25,000, and $15,000 for the next five years.

Your firm required rate of return is 15%. How long will it take to pay back the initial investment?

Reference no: EM131894984

Questions Cloud

How much will kcsbs monthly profits change : How much will KCSB's monthly profits change if it accepts the proposal for the 850 bicycles and uses the idle resources to produce the 70 racing bicycles?
Calculate the in-house unit cost : Calculate the in-house unit cost that must be compared with the quotation received from the outside contractor. Assume the payment to the outside contractor.
Reflect on the current stage of your professional career : Are you planning any changes? If so, what changes are you contemplating to make?
What is the basis for concern recognizing : The Patient Protection and Affordable Care Act of 2010 is causing many hospitals to restructure and, in many cases, downsize.
How long will it take to pay back the initial investment : PAYBACK PERIOD. Your company is seriously considering investing in a new project opportunity, but cas flow is tight.
Compute the equivalent units in the mixing department : Vaasa Chemicals makes a product by way of two processes. Compute the equivalent units in the Mixing Department for direct materials and for conversion costs.
Explain the data gathering and factual analysis : As a partner in a small communications firm, you have noticed that your fellow partners and several employees have mentioned new product ideas.
Describe what it is you would be doing on daily bases : If I had all the money I could ever need or want, what would I love to do even if I did not get paid to do it? No professional Titles.
How can pay for performance both support and undermine : How can pay for performance both support and undermine an organization's goals for ethical employee behavior?

Reviews

Write a Review

Operation Management Questions & Answers

  Book review - the goal

Operations Management is about a book review. Title of the book is "Goal". This book has been written by Dr. Eliyahu Goldartt. The book has been appreciated by many as one of those books which offers an insight into the operations and strategic capac..

  Operational plan in hospitality enterprise

Operational plan pertaining to a hospitality enterprise is given in detail in the solution. The operational plan is an important plan or preparation which gives guidelines regarding the role and responsibilities of each and every operation at all lev..

  Managing operations and information

Recognise the importance of a strategic approach to the development and deployment of organisational information systems. Demonstrate an understanding of the importance of databases and their integration to the organisation's overall information mana..

  A make-or-buy analysis

An analysis of the holding costs, including the appropriate annual holding cost rate.

  Evolution and contributor of operations management

Briefly explain Evolution and contributor of Operations management.

  Functions and responsibilities of an operations manager

A number of drivers of change have transformed the roles, functions and responsibilities of an operations manager over recent years. These drivers have not only been based on technological innovations but also on the need for organisations to develop..

  Compute the optimal order quantity

Compute the Optimal Order quantity of DVD players. Determine the appropriate reorder point.

  Relationship to operations practice in the organisation

Evaluate problems in operations and identify approaches to overcoming them. Critically evaluate operating plans and identify areas for improvement. Justify, implement and evaluate changes to operations in line with modern approaches.

  A make or buy analysis

Develop a report for Figi Fabricating that will address the question of whether the company should continue to purchase the part from the supplier or begin to produce the part itself.

  Prepare a staffing plan

Prepare a staffing plan showing the change of your unit from medical/surgical staffing to oncology staffing.

  Leadership styles in different organizations

Ccompare the effectiveness of different leadership styles in different organizations

  Risk management tools and models

Be able to understand the concept of risk, roles and responsibilities for risk management and risk management tools and models.

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