If the opportunity cost of capital is 14 percent what is

Assignment Help Finance Basics
Reference no: EM13571738

A factory costs $800,000. You reckon that it will produce an inflow after operating costs of $170,000 a year for 10 years. If the opportunity cost of capital is 14 percent, what is the net present value of the factory? What will the factory be worth at the end of five years?

Reference no: EM13571738

Questions Cloud

Imagine that you are a social science researcher and you : imagine that you are a social science researcher and you are expected to write on the following topic and complete the
A class has 80 students test 2 had a class average of 78 : a class has 80 students. test 2 had a class average of 78 and a variance of 49. answer the following 7 questions.
Can someone please answer this problem for me its from : can someone please answer this problem for me? its from kieso weygandt and warfield intermediate accounting 14th
Compare and contrast the views of karl marx and : a mini essay 350-700 words properly cited apa on the following topiccompare and contrast the views of karl marx and
If the opportunity cost of capital is 14 percent what is : a factory costs 800000. you reckon that it will produce an inflow after operating costs of 170000 a year for 10 years.
Prepare a monthly manufacturing overhead flexible budget : cook company estimates that 357300 direct labor hours will be worked during the coming year 2014 in the packaging
What amount he has to deposit in a bank today so that he : a student needs rs 200000 after 5 year for his study. what amount he has to deposit in a bank today so that he will
It is often suggested that each other behaves like : it is often suggested that each other behaves like reflexive pronouns in obeying principle a. how does this idea
Nieto co elects to use the percentage-of-sales basis in : nieto co. elects to use the percentage-of-sales basis in 2008 to record bad debts expense. it estimates that 3 of net

Reviews

Write a Review

Finance Basics Questions & Answers

  What level of pretax cost savings

The device has an estimated Year 5 salvage value of $60,000. What level of pretax cost savings do we require for this project to be profitable?

  Wat is the difference between a diversifiable risk and a

what is the difference between a diversifiable risk and a nondiversifiable risk? should stock portfolio managers try

  How many bottles of sour grapes must carr sell each year

How many bottles of sour grapes must carr sell each year to break even on an economic NPV basis? Assume the projects hurdle rate is 10%.

  How large a sales increase can the company achieve without

bannister legal services generated 2000000 in sales during 2010 and its year-end total assets were 1500000. also at

  Significant challenges facing the healthcare system

Determine the three most significant challenges facing the healthcare system due to changes in financial mechanisms?

  Bellamee inc has semiannual bonds outstanding with five

bellamee inc. has semiannual bonds outstanding with five years to maturity and are priced at 920.87. if the bonds have

  Jst answer these question no intro or conclusion

just answer these question no intro or conclusion needed.what are the barriers to personal growth and development?why

  What is arid expected stock price 5 years from now

If dividends are expected to grow at a constant rate, g, in the future and if rs is expected to remain at 12%, what is Arid's expected stock price 5 years from now?

  What is the weighted average cost of capital for project

What is the weighted average cost of capital for this project?

  Calculate the accounting rate of return

Depreciation is computed by the straight-line method. During the life of the investment, annual net income and cash inflows are expected to be $25,000 and $75,000, respectively. Mimi's minimum required rate of return is 10%

  Create an ios chart with the investment alternatives

The WACC is 7.75% with break points at $13 million and a new WACC of 8.12%. A final breakpoint occurs at $25 million boosting the WACC to 9.25%. Your banker has told you that beyond $25 million you will not be extended additional credit.

  Explain the objectives involved in the management of a

explain the objectives involved in the management of a banks overall liquidity position and the costs to the bank of

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