Is the machine an acceptable investment

Assignment Help Accounting Basics

Reference no: EM13129162

edward company's required rate of return is 15%. the company can purchase a new machine at cost 40,350/. the new machine would generate cash inflows of 15,000 per year and have a four-year life with no salvage value. compute the machine's net present value. is the machine an acceptable investment?

Reference no: EM13129162

Questions Cloud

What is amortization loan : What is amortization loan? Can you give us an amortization loan example, for example, car loan or mortgage loan, and so on?

Find probability that sum of the face values is less : Ffind the probability that the face showing up a six turns up between 10 and 30 times. Find the probability that the sum of the face values of the 100 trials is less than 250.

Illustrate what if jim loan had : What about to Jim? Illustrate what if Jim’s loan had been $25,000 instead of $12,000 and Sally hadn’t repaid a dime before Jim decided to forgive the balance?

Qualify for like-kind exchange treatment : What requirements must be met for property to qualify for like-kind exchange treatment?

Is the machine an acceptable investment : edward company's required rate of return is 15%. the company can purchase a new machine at cost 40,350/. the new machine would generate cash inflows of 15,000 per year and have a four-year life with no salvage value. compute the machine's net pres..

Illustrate what was the cost of the units sold : A company had inventory of 8 units at a cost of $12 each on December 1. On December 2, they purchased 8 units at $21 each. On December 6 they purchased 7 units at $23 each. On December 8, they sold 18 units for $52 each. Using the LIFO perpetual i..

Calculate the direct materials price and quantity variances : Calculate the direct materials price and quantity variances fr the month Compute the direct labor rate and efficiency variances fir the month.

Which is accounted for as a change in accounting principle : Which of the following is accounted for as a change in accounting principle?

Oldest of all literary forms : What is the oldest of all literary forms?

User Account

All Pages