Vanessa company is evaluating a project requiring a capital

Assignment Help Accounting Basics
Reference no: EM13578594

Vanessa Company is evaluating a project requiring a capital expenditure of $480,000. The project has an estimated life of 4 years and no salvage value. The estimated net income and cash flow from the project are as follows.
year net income Net cash flow

1 90,000        210,000

2 80,000        200,000

3 40,000        160,000

4 30,000        150,000

240,000          720,000

companys minimum desired rate or returen foe net present value analysis is 15 %. the present value of the $1 at compound intrest of 15% for 1,2,3,4 years is .870 .756 .658 and .572 determine the average rate of return on investment using straight line method and net present value

Reference no: EM13578594

Questions Cloud

A standard costing system is the traditionally used costing : a standard costing system is the traditionally used costing system. it has two main purposes cost control and product
An inspector correctly identifies defective products 90 of : an inspector correctly identifies defective products 90 of the time. for the next 10 products what is the probability
Assume the same facts as assumed for part a except that 20 : in 2013 chirac enterprises issued at par 60 1000 8 bonds each convertible into 100 shares of common stock. chirac had
In fact the contents vary according to a normal : q1. find the area under the standard normal curve from z 0 to z 0.74.q2. find the area under the standard normal curve
Vanessa company is evaluating a project requiring a capital : vanessa company is evaluating a project requiring a capital expenditure of 480000. the project has an estimated life of
An automotive center keeps tracks of customer complaints : an automotive center keeps tracks of customer complaints received each week. the probability distribution for
Carry out the an appropriate test at 5 los base on the : a market research firm used a sample of individual to rate the purchase -potential of a particular product before and
Describe the knowledge used to develop a knowledgeable : understanding the entity and its environment you have just been assigned as in-charge accountant on hipstar inc. a new
On march 1 fixtures and equipment were purchased for 6000 : on march 1 fixtures and equipment were purchased for 6000 with a downpayment of 1500 plus a 4500 note payable in one

Reviews

Write a Review

Accounting Basics Questions & Answers

  Alexia corporation was organized on january1 2012 it is

alexia corporation was organized on january1 2012. it is authorized to issue 10000 shares of 8 100 par value preffered

  Find out the difference between managerial and financial

1. determine the difference between managerial and financial accounting and their interrelationship.2. analyze the

  Laserwords inc is a book distributor that had been

laserwords inc. is a book distributor that had been operating is its original facility since 1985. the increase in

  Preferred and common shareholders

The board of directors declared and paid a $3,000 dividend in 2009. In 2010, $15,000 of dividends are declared and paid. What are the dividends received by the preferred and common shareholders in 2010?

  Determining the company income tax liability

All of the 2009 loss can be carried back against the income of 2007 and 2008 for purposes of determining the company's 2009 income tax liability. How should the carryback be presented in the company's 2009 financial statements?

  What are the consequences to the corporation

The basis of the land in the corporation's hands is $68,000. What are the consequences to the corporation and the shareholders as a result of this distribution?

  Although the quantity and content of audit working papers

although the quantity and content of audit working papers vary with each particular engagement an auditors permanent

  The total of the individual customer account balances

The total of the individual customer account balances should equal the balance in accounts receivable, which is the

  Y company manufactures a single product and is trying to

y company manufactures a single product and is trying to estimate its total manufacturing costs each month. it is

  On december 31 prior to adjustments the balance of accounts

on december 31 prior to adjustments the balance of accounts receivable is 16000 and allowance for doubtful accounts has

  Compute the npv-irr-payback for projects

However, it is also projected for Project B that in years three and four there will be an additional capital outlay of $100,000 for each year. Compute the NPV, IRR, Payback for both projects and select the best project. Show your work.

  On october 31 the stockholders equity section of pele

on october 31 the stockholders equity section of pele companys balance sheet consists of common stock 648000 and

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