Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Hybrid cars are touted as a "green" alternative; however, the financial aspects of hybrid ownership are not as clear. Consider the 2014 Edsel 550h, which had a list price of $5,200 (including tax consequences) more than the comparable Edsel 550. Additionally, the annual ownership costs (other than fuel) for the hybrid were expected to be $440 more than the traditional sedan. The EPA mileage estimate was 29 mpg for the hybrid and 21 mpg for the traditional sedan. a. Assume that gasoline costs $3.65 per gallon and you plan to keep either car for six years. How many miles per year would you need to drive to make the decision to buy the hybrid worthwhile, ignoring the time value of money? (Do not round intermediate calculations and round your answer to nearest whole number, e.g., 32.) Miles per year b. If you drive 16,000 miles per year and keep either car for six years, what price per gallon would make the decision to buy the hybrid worthwhile, ignoring the time value of money? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Price per gallon $ c. Gasoline costs $3.65 per gallon and you plan to keep either car for six years. How many miles per year would you need to drive to make the decision to buy the hybrid worthwhile? Assume the appropriate interest rate is 10 percent and all cash flows occur at the end of the year. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) Miles per year d. If you drive 16,000 miles per year and keep either car for six years, what price per gallon would make the decision to buy the hybrid worthwhile? Assume the appropriate interest rate is 10 percent and all cash flows occur at the end of the year. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Price per gallon $
What is the present value of a company with a WACC of 12%, and the following cash flows for years 1 to 5,
You may have heard of the requirement to "mark" portfolios of assets "to market" which contributed to the collapse of financial institutions like Lehman Brothers and Bear Stearns in 2008. Is it time to modify or change this requirement? What are othe..
The added production would require an increase in working capital in the form of stocks, valued at cost, of £300,000. The tax rate is 20 per cent and the required rate of return is 18 percent. Determine the net present value of the investment, sp..
Brodkey Shoes has a beta of 1.10, the T-bond rate is 5.5%. The annual return on the stock market during the past 3 years was 15.00%, but investors expect the annual future stock market return to be 14.00%. Based on the SML, what is the firm's require..
A startup, JollyRogerBay, has developed their best available project that will require an immediate outflow of $47855. The project's long-term cash flows are expected to be $22150 per year for 4 straight years beginning in one year. If the required r..
How long have they been with the company? Determine if compensation is reasonable considering the company's financial performance. Discuss the metrics tied to the CEO's inventive compensation.
Assume that exactly five years ago I borrowed $417,000. My loan has an interest rate of 4.25% and the term of the loan is 30 years (with required payments to be made every month). If I made every required payment on time for the first 60 months of th..
An investor is trying to assess the likely return from a stock he is considering to invest. The returns in the last 5 years are given in the table below. Returns % 5 9 7 11 8 Calculate the Standard Deviation (%) of Returns for the stock
On May 1, 2014, Goldberg Company sold some machinery to Newlin Company on an instalment contract basis. The contract required five equal annual payments, with the first payment due on May 1, 2014. What present value concept is appropriate for this si..
You expect interest rates to fall in the eurozone. The rest of the market thinks that they will remain unchanged over the coming year.
How is the market for a stock? created? How do brokerage firms expedite this? process? Compare the two types of brokerage services.
A seminar series has set up costs of $3,000; a rent per event of $1,000; plus a variable cost of $30 per attendee for food, supplies, and refreshments. The price of the seminar admission is $100 per person. What is the break even in a) units {people}..
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd