Solution-Projected period consideration

Projected period consideration

Reference no: EM133060780

In capital budget the future cash flaws that we disount for PV ..are they reinvested for the rest of the projected period consideration or are they considered withdrawn?

If they are reinvest

They are to be considered as reinvested or they must be reinvested.

If not reinvested will it affect my capital budgeting decision (based on NPV)?

Reference no: EM133060780

Questions Cloud

What should the price to the public be : Tiger Golf Supplies has $19 million in earnings with 6 million shares outstanding. Its investment banker thinks the stock should trade at a P/E ratio of 22.

Calculate the net present value : Calculate the net present value with a required return of 8%, an initial investment of $45,000, and cash flows of $12,000; $20,000, $10,000, and $6,000

Normal economic conditions : You estimate that your sheep farm will generate 1.5 million of profits on sales of 6.1 million under normal economic conditions, and that the degree of operatin

Calculate the net present value for the project : Rare Find is evaluating a project with the following information:

Projected period consideration : In capital budget the future cash flaws that we disount for PV ..are they reinvested for the rest of the projected period consideration or are they considered

Find the pre-tax income : Holly's Art Galleries recently reported $7.9 million of net income. Its EBIT was $17 million, and its federal tax rate was 21% (ignore any possible state corpor

Describe any legal or ethical challenges : Describe any legal or ethical challenges this convergence may create using the country you selected in prior courses

Calculating the free cash flows : A firm is introducing a new product and expected change in net operating income of SAR 15000,000. Its corporate tax is 23%. The project will also produce SAR 4,

Calculate the total amount of the cash dividend : During 2010, the company declared and paid a cash dividend at $1.50 per share. Calculate the total amount of the 2010 cash dividend

Reviews

Write a Review

Required(*) Message

Finance Basics Questions & Answers

Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

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!

Submit Assignment

User Account

All Pages

Projected period consideration

Reference no: EM133060780

Reference no: EM133060780

Questions Cloud

Reviews

Write a Review

Finance Basics Questions & Answers

Financial reporting and analysis

A report on financial accounting

Describe the types of financial ratios

Differences between sole proprietorship and corporation

Prepare a cash budget statement

What are the implied interest rates

State pricing theory and no-arbitrage pricing theory

Small business administration

Effect of financial leverage

Evaluate the basis for the payment to the lender

Importance of opps, ipps, mpfs and dmepos

Time value of money

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT