Investment under consideration has payback

Assignment Help Financial Management
Reference no: EM131913605

An investment under consideration has a payback of eight years and a cost of $871,000. Assume the cash flows are conventional.

If the required return is 10 percent, what is the worst-case NPV? (Negative amount should be indicated by a minus sign. Round your answer to 2 decimal places, e.g., 32.16.)

Reference no: EM131913605

Questions Cloud

What is the standard deviation of returns : A stock is expected to earn 27 percent in a boom economy and 13 percent in a normal economy. What is the standard deviation of these returns?
Seize digital devices from paul douglas peters : Assume a warrant was granted to search and seize digital devices from Paul Douglas Peters' residence.
Summarize the current organizational training program : Present an idea for a new training program or component to the existing training program which would promote employee engagement
Explain how sloan negative retained earnings balance : Explain how Sloan's negative retained earnings balance is reflected in the consolidated balance sheet immediately following the acquisition
Investment under consideration has payback : An investment under consideration has a payback of eight years and a cost of $871,000
Find a formula expressing the sum of degrees : Find a formula expressing the sum of degrees of all nodes of a tree in terms of the number of its nodes. Prove your formula by structural induction.
What are portfolio weights of each stock : An investor owns $7,000 of Adobe Systems stock, $8,000 of Dow Chemical, and $8,000 of Office Depot. What are the portfolio weights of each stock?
Contiguous memory allocation scheme : Assume that Contiguous Memory Allocation scheme is followed, and in a particular case there are six empty holes of 250KB, 550KB, 300KB, 140KB
What was caterpillar book debt-to-value ratio : What was Caterpillar’s book debt-to-value ratio? What was its market debt-to-value ratio?

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

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