Project that promises you cash flows

Assignment Help Finance Basics
Reference no: EM131972340

You are considering a project that promises you cash flows of 770 USD at the end of year 1, and 971 usd at the end of year 2. The cost to buy into the project is 1,388.

What is the internal rate of return (IRR) on this project?

Enter answer in percents, accurate to 2 decimal places

Reference no: EM131972340

Questions Cloud

Calculate the contribution margin ratio : Calculate the contribution margin ratio. Calculate operating leverage. Coolpak's projected data for the upcoming year, 2017, is presented above.
Determining the average market return : Assume the average market return over the next 50 years is expected to be 9.1%. If an investor contributes $19 thousand
What is the project npv : Based on the riskiness of the project, you require a 14 percent return. The cost to buy into the project is 3,185. What is the project NPV?
How much interest would she have to pay at end of three year : Sally buys a living room set (sofa, chair and coffee table) for $3380 including sales tax. How much interest would she have to pay at the end of 3 years?
Project that promises you cash flows : You are considering a project that promises you cash flows of 770 USD at the end of year 1, and 971 usd at the end of year 2. The cost to buy into the project
What is the maximum should be willing to pay : Based on the riskiness of the project, you require a 9 percent return. What is the maximum you should be willing to pay?
Determine the cash received from customers to be reported : Determine the cash received from customers to be reported on the cash flow statement using the direct method.
Inflation rate in japan : The inflation rate in U.S. is 3.7%, and the inflation rate in Japan is 9.7%. The current exchange rate is 97 JPY/USD. If the purchasing power parity holds
What annual rate of return has investment generated : What annual rate of return has your investment generated? Assume all cash flows are received at the end of each year and no terminal value.

Reviews

Write a Review

Finance Basics Questions & Answers

  Operating room 2657 080 80 anesthesiology 293 080 80 lab

your hospital has been approached by a major hmo to perform all their ms-drg 470 cases.they have offered a flat price

  What is the relevant refunding investment outlay?

What is the relevant refunding investment outlay?

  What problems may be indicated by an average collection

1. what are the primary limitations of ratio analysis as a technique of financial statement analysis?2. what

  Where would you lend

Where would you lend - where would you borrow and How could you arbitrage?

  Train incoming consultants on financial management-risks

You are a senior financial consultant for 123 Corporation. Your CEO has asked that you train incoming consultants on financial management and risks.

  Components of the cash conversion cycle

In your own words please explain the three components of the cash conversion cycle.

  Determine the market rate of interest for a bond

Determine the market rate of interest for a bond with the following charateristics: the bond pays a 7% coupon (semi-annually), its time until maturity is 20 years and it is currently selling for $1154.

  How many bonds will dipitro paint

How many bonds will DiPitro's Paint and Wallpaper need to sell in order to receive the $1.08 million it needs?

  How much per month will bilbo have to save

Bilbo Baggins wants to save money to meet three objectives. First, he would like to be able to retire 25 years from now with a retirement income of $25,000.

  What is one advantage and one disadvantage of the sharpe

What is one advantage and one disadvantage of the Sharpe ratio?

  Inflation is one of the most difficult factors to deal

1.     What are the NPV, IRR, MIRR, and payback of the proposed ambulatory surgery center? Do the measures indicate acceptance orrejection of the proposed ambulatory surgery center?  2.     Inflation is one of the most difficult factors to deal with ..

  What is quigleys wacc

The firm will not be issuing any new stock. What is Quigley's WACC?

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