User Account

All Pages

Solve the net present value? for the project

Assignment Help Financial Accounting
Reference no: EM133002016

Problem 1: Suppose? you're presented with a proposal for a project that costs ?$4,200 and will bring in ?$20,100 the first year. The next? year, you'll have to pay out ?$15,800. With a cost of capital of 14%, calculate the net present value? (NPV) for this project. Round your answer to the nearest cent.

a) $1,273.99
b) $1,358.54
c) $1,258.99
d) $1,385.25

Reference no: EM133002016

Questions Cloud

Determine the internal rate of return or IRR : Determine the internal rate of return (IRR) for the following project. The project requires an initial investment of $1,100 and provides 5 annual cash inflows
Determinnig the depreciation and amortization expense : Sunland Corporation recently reported an EBITDA of $32.80 million and net income of $9.7 million. The company had $6.8 million in interest expense, and it's ave
Which capital budgeting is important because : What is the payback period of a project with an initial investment of $14,400 and annual cash flows of $1,195?? Which Capital budgeting is important because?
Solve the net present value? or NPV for the project : Solve the net present value (NPV) for the following project. The project requires an initial investment of $1,980 and provides 5 annual cash inflows of $165
Solve the net present value? for the project : Suppose? you're presented with a proposal for a project. With a cost of capital of 14%, calculate the net present value? (NPV) for this project.
What is the depreciation tax shield in the second year : What is the depreciation tax shield in the second year of operations? The machine is classified as 3-year property with MACRS depreciation rates for first year
How do Calculate the net present value or NPV for project : Calculate the net present value (NPV) for the project. The project requires an initial investment of $20,200 and provides 5 annual cash inflows of $20,900.
What is the depreciation expense in the first year : Endo Mountain Bikes Inc. is purchasing a new machine for constructing hydraulic shocks. What is the book value at the end of the second year?
What is the? after-tax cost of the preferred? equity : What is the? after-tax cost of the following preferred? equity? The par value of the preferred share is ?$100 and the annual dividend is 6?%.

Reviews

Write a Review

Financial Accounting Questions & Answers

  What is an estimate of the bankruptcy costs

If that happens, then the firm will go bankrupt. If the bonds sell in the market for £84, what is (i) an estimate of the bankruptcy costs for Risky-Bet

  Compute the terminal value

You should do you work in Excel, Given information cash flow in year 4 $100, long run growth rate3.0%, cost of capital15.0%, Compute the terminal value

  What will happen to the firm current ratio

The King Carpet Company has $2,950,000 in cash and a total of $11,440,000 in current assets. What will happen to the firm current ratio

  Uhf antennas inc produces and sells a unique television

UHF Antennas, Inc., produces and sells a unique television antenna. The company has just opened a new plant to manufacture the antenna,

  Journalizing and reporting bond transactionsthe board of

journalizing and reporting bond transactionsthe board of directors of delta health spa authorizes the issuance of

  Annual interests on the unpaid balance

Assume that you will have a 10-year, $12,000 loan to repay when you graduate from college next month. The loan, plus 5 percent annual interests on the unpaid balance, is to be repaid in 10 annual instalments of $1,554 each, beginning one year after y..

  Prepare general journal entries to account for revaluation

Prepare general journal entries to record the above transactions - Prepare general journal entries to account for the revaluation of the above assets

  Determine the present value of expected future cash inflows

Ram Electric Company is being considered for acquisition. Determine present value of the expected future cash inflows over the next ten years. Show your work.

  Is the plan devised by spencer and the cfo ethical

Is the plan devised by Spencer and the CFO ethical? In answering this question, assume that Spencer and the controller are both firmly convinced

  How is the account balance of a savings account earning

Find What is the difference between a savings account earning simple interest and a savings account earning compound interest.

  How to indicate range of possible prices that hastings bid

How to Indicate range of possible prices that Hastings could bid for each share of Vandell common stock in acquisition. Round your answers to the nearest cent

  Explain ONE financial risk faced by Apple Inc

Please explain ONE financial risk faced by Apple Inc. related to the revenue received in Euro, given the above scenario, why you consider this as a risk

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd