Present value of the cash flows

Assignment Help Business Management
Reference no: EM131455761

Gina Corp. runs a manufacturing business. For this fiscal year, it estimates its net cash flow will be $250,000. Due to the competition, the company expects its net cash flows will decrease at 3% per year in perpetuity. The appropriate discount rate of the company is 5%. All net cash flows are received at year-end. What is the present value of the cash flows from the company's operations?

Reference no: EM131455761

Questions Cloud

Difference between z-tests and the t-tests : Z-tests and T-Tests are both statistical methods used to test different hypotheses and analyze their differences. The Z test is used to decide.
Select a sample of licensed drivers in the state of new york : Indicate which of the following situations involve sampling from a finite population and which involve sampling from an infinite population.
Which formula would you use for this equation : Determine the amount of each month deposit. Which formula would you use for this equation?
What is the point estimate of the population mean : The following data are from a simple random sample. What is the point estimate of the population mean?
Present value of the cash flows : All net cash flows are received at year-end. What is the present value of the cash flows from the company's operations?
Discuss about the alpha level : The alpha level tells us how likely we are to reject the null hypothesis when it is in fact true (false positive).
Feasible only for with students with computer access : What is Wagner's required return, rs? (Hint: This problem is hard, and it is really feasible only for with students with computer access.)
Provide information about the agencys key historical events : Provide background information about the agency's key historical events, mission, and goals / Describe at least three functions of this agency.
Required rate of return : 1.). What is the NPV of the following cash flows if the required rate of return is 0.09?

Reviews

Write a Review

Business Management Questions & Answers

  Determine a linear and power demand curve

Your company charges $60 for a board game it invented and has sold 3,000 copies during the last year. Elasticity for board games is known to equal 3. Use this information to determine a linear and power demand curve.

  Question related to business communication trends

Question related to Business Communication Trends - Explain current trends in business communication

  Employee productivity and satisfaction

Show what you would do if you were in an environment that you did not find challenging. What would be the difference in your actions if you had a leader that you respected

  What is the break even point in units for proposal a

The revenue generated by each unit is $20.00.  - What is the break-even point in units for proposal A? - What is the break-even point in units for proposal B?

  Higher standard of living

In the same year, the population of India was 1.2 billion and real GDP was 1.2trillion. In 2005, China's Human Development Index was 0.777 and India's was0.619. Which country has the higher standard of living? Explain.

  The system microsoft sharepoint

A 300-400 word high-level discussion of how the system Microsoft Sharepoint should be acquired and maintained written in APA Format With cited sources.

  Responsibility of working with organization

You have been given the responsibility of working with your organization's CEO to do a competitive market analysis of the potential success of one of their existing products.

  Is this statement true or false?

Determine  Is this statement true or false?

  Explain the firm and tell us why it isn''t responsive

Explain the firm and tell us why it isn't responsive and What are the consequences if a firm chooses to ignore such stakeholder groups

  Merchandising philosophy

Imagine that you are starting your own business. Create your own merchandising philosophy. Describe your philosophy, and propose the manner in which you would use it to enhance your business.

  Successful completion of the process

Using the tool: Activity Network Diagram to demonstrate how that tool could help in the successful completion of the process.

  Evaluate the potential B2C and B2B customer segments

Assignment 1 requires you to initially evaluate the potential B2C and B2B customer segments that make up the DSO's market.  You then select a specific B2C, as well as a specific B2B segment, for targeting and provide rationale for your selections,..

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