Required rate of return

Assignment Help Finance Basics
Reference no: EM131693308

An investment of $83 generates after-tax cash flows of $38.00 in Year 1, $74.00 in Year 2, and $135.00 in Year 3. The required rate of return is 20 percent. The net present value is?

Reference no: EM131693308

Questions Cloud

Describe the hypothesis test : PSY-380 -a. What is the research question and Describe the hypothesis test - Discuss the hypothesis' role in the context of the whole article
The concept of separate legal personality is fundamental : The concept of separate legal personality is fundamental to company law.
Determine-job-order costing versus process costing : For each of the given types of industries, give an example of a firm that would use job-order costing. Then, give an example of a firm that would use process.
How might cultural difference affect the business : What is an MNC and how might cultural difference affect the business?
Required rate of return : The required rate of return is 20 percent. The net present value is?
Define a sum of squares to measure the total contribution : Define a sum of squares to measure the total contribution of x~2 to the model in this case. Can you generalize this to using a matrix of protected values Z
Discuss profiting from injustice without penalty : Explain why they are strong or weak. Finally, explain why you would or would not use the ring for injustice
Develop the skills to assess the success of the plan : Develop the skills to assess the success of the plan. Make sure you use adequate, credible and reliable APA source citations to support your work.
Earn a minimal average accounting return : The firm wants to earn a minimal average accounting return of 11.65 percent. Should the project be accepted or rejected? What is the AAR?

Reviews

Write a Review

Finance Basics Questions & Answers

  What are examples of opportunity costs

What is the difference between NPV,IRR, Payback analysis and how are these methods related. What are examples of opportunity costs and incremental cash flows. How does the cash flow of a project impact whether or not a company pursues a certain proje..

  Computation of expected return

Suppose You are planning investing $1,000 in a T-bill that pays 0.05 and a risky portfolio, P, constructed with 2 risky securities, X and Y. The weights of X and Y in P are 0.60 and 0.40, respectively.

  Find the present value of the lease

You are planning a five-year lease of office space for R&D personnel. Once signed, lease cannot be canceled. It would commit your company to six yearly $100,000 payments with the first payment due immediately.

  Arithmetic and geometric returns for the stock

What are the arithmetic and geometric returns for the stock?

  Research and secure the sec 10-k annual report

You will be asked to select a company that is publically traded. You must research and secure the SEC 10-K Annual Report for the most recent year

  Difference between eps and funds from operation

What is the difference between earnings per share (EPS), funds from operations (FFO), adjusted funds from operations (AFFO), and dividends per share?

  What is the current level of fixed costs

WDS publishers sells finance textbooks for 200 each. The variable cost per book is 120. At current annual sales of 15,000 books the publisher is just breaking even. What is the current level of fixed costs?

  You are planning to invest 2500 today for three years at a

you are planning to invest 2500 today for three years at a nominal interest rate of 9 with annual compounding. what

  What is the daily operating cash flow

Zig and Zag C-Mart has daily sales of $36,600, costs of $28,400, depreciation expense of $3,100, and interest expense of $1,500. If the tax rate is 34 percent, what is the daily operating cash flow, OCF?

  Explain what happens to the postmerger earnings

Explain what happens to the postmerger earnings per share figure when a company with a relatively high P/E ratio acquires a company with a lower P/E ratio, assuming that the exchange ratio is based on current stock market prices and no synergy exists..

  Prepare journal entries to record the current tax liability

Determine the balance of any current and deferred tax assets and liabilities as at 30 June 2015, in accordance with AASB 112. Show all necessary workings - Prepare journal entries to record the current tax liability and deferred tax assets and liab..

  Explain the principle of subrogation

a. Explain the principle of subrogation. b. Why is subrogation used?

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