Should Crypto Currency Project be accepted or rejected

Assignment Help Financial Management

Reference no: EM131926486

Quick Fix Company is considering buying a Crypto Currency Machine to print crypto currency with the following projected investment and cash flow amounts. Machine has no salvage value. Year Cash Flow Amounts 0 ($11,800) = Initial Investment 1 $22,500 2 $21,000 3 $12,000 4 $8,500 5 ($14,800)

1. Compute the NPV for the Crypto Currency Project if the appropriate cost of capital is 6%. [Excel Formula = NPV] [Hint: NPV of Cash Flows – Initial Investment = Net Present Value]

2. Should Crypto Currency Project be accepted or rejected?

Reference no: EM131926486

Questions Cloud

Write a java code that converts integer to string : Write a Java code that converts int to Integer, converts Integer to String, converts String to int, converts int to String, converts String to Integer.

Find numerical value of the natural frequency omega : TASK 1 - Modelling, matrices, MATLAB loops, eig - Find numerical value of the 7th natural frequency omega_7 [rad/s] of the system

Describes a situation with a proposed tax treatment : In each of the preceding Cases, indicate whether or not you believe that theta' treatment being proposed is the correct one. Explain your conclusion

What interest rate must you have earned : You deposit $5,000 into an account for 5 years with quarterly compounding. At the end of 5 years, the account balance is $6,800.

Should Crypto Currency Project be accepted or rejected : Should Crypto Currency Project be accepted or rejected? Compute the NPV for the Crypto Currency Project if the appropriate cost of capital is 6%.

What is speed after the collision : a. What is the speed of the clay-bob system after the collision? b. What is the maximum angular displacement of the pendulum?

How much will each annual payment need to be : Assume that one will take out a $ 20,000 loan. The Annual Interest Rate is 6%, and the loan is to be paid off in 2 years.

What is the conventional b-c ratio for this project : An improvement project on the Ohio River cost $6,500,000.00 with annual maintenance of $130,000.00.

Draw a free-body diagram from behind the cart : You must draw a free-body diagram from behind the cart and start with formulae from the formula sheet. Using memorized final equations will not be adequate.

User Account

All Pages