User Account

All Pages

What is the discounted payback period for these cash flows

Assignment Help Finance Basics
Reference no: EM13480147

Buy Coastal, Inc., imposes a payback cutoff of three years for its international investment projects.

Year

Cash Flow (A)

Cash Flow (B)

0

$

64,000

$

74,000

1

25,000


17,000

2

32,000


20,000

3

23,000


30,000

4

10,000


234,000

What is the payback period for both projects?

Payback period

Project A

years

Project B

years

Which project should the company accept?

An investment project has annual cash inflows of $3,600, $4,500, $5,700, and $4,900, and a discount rate of 15 percent.

What is the discounted payback period for these cash flows if the initial cost is $6,300?

What is the discounted payback period for these cash flows if the initial cost is $8,400?

What is the discounted payback period for these cash flows if the initial cost is $11,400?

Reference no: EM13480147

Questions Cloud

Which of the following is not one of the activities shown : 1 which of the following is not one of the activities shown on the statement of cash flows?accounting
Following are the amounts of the assets and liabilities of : following are the amounts of the assets and liabilities of st. kitts travel agency at december 31 2010 the end of the
The number of workdays varies from month to month due to : the number of workdays varies from month to month due to the number of weekdays holidays days of vacation and sick
Analyze young colonel sartoris from barn burning by william : analyze young colonel sartoris from barn burning by william faulkner as you would if you are a clinical psychologist.
What is the discounted payback period for these cash flows : buy coastal inc. imposes a payback cutoff of three years for its international investment projects.yearcash flow acash
In the spot market 91 pesos can be exchanged for 1 us : in the spot market 9.1 pesos can be exchanged for 1 u.s. dollar. a pair of headphones cost 11.00 in the us. if
What is the yield on 90-day risk fee securities in the : assume that interest rate parity holds. in both the spot market and the 90-day forward market. i japanese yen equals
How facebook is in an online social networking industry and : how facebook is in an online social networking industry and for the product and service it produces you can mention how
What is the cross rate between francs and pounds round : the exchange rate between the us dollar and the swiss franc is sf1.31 and the exchange rate betweent he dollar and the

Reviews

Write a Review

Finance Basics Questions & Answers

  What is the project coefficient of variation

Cheng Inc. is considering a capital budgeting project that has an expected return of 25% and a standard deviation of 30%. What is the project's coefficient of variation?

  Estimate the yield to maturity on this bond

A 5-year corporate bond with a 6.8% coupon rate is trading at $952.63. Assuming semi-annual coupon payments: (i) estimate the yield to maturity on this bond

  What amount will be in a bank account three years from now

What amount will be in a bank account three years from now if $5,000 is invested each year for four years with the first investment to be made today?

  Evaluate the degree operating leverage

Evaluate the Degree Operating Leverage and the Degree Financial Leverage for the last two years. Did your company increased or decreased the overall risk?

  What is the value of the land

A piece of land produces an income that grows by 5% per annum. If the first year's income is $10,000, What is the value of the land?

  Compute the yield curve for the next three years

Suppose that the interest rate on one-year bonds is 4 percent today, and is expected to be 5 percent one year from now and 6 percent two years from now. Using the Expectations Hypothesis, compute the yield curve for the next three years.

  What is your estimated futrue value

what is your estimated futrue value? once you retire, how much can you withdrawl monthly if you want to deplete your account over 30 years (Use the money in motion Caculator)

  Determine the expected return and beta for the portfolio

Multiple choice questions using beta, expected return and bond values and determine the expected return and beta for the portfolio.

  You want to buy a house for 350000 the bank will loan you

question you want to buy a house for 350000. the bank will loan you 85 of the purchase price. the mortgage terms are

  Estimate the amount of financing

How should a corporation estimate the amount of financing that must be raised externally during a given year? Once that amount is known, what other decision must be made?

  Filer manufacturing has 75 millions shares of common stock

filer manufacturing has 7.5 millions shares of common stock outstanding. the current share price is 49 and the book

  Determine the amount of amortization expense

Kerr Corporation purchased a patent on January 1, 2006 for $180,000. The patent had a remaining useful life of ten years at that date. In January of 2007, Kerr successfully defends the patent at a cost of $81,000, extending the patent's life to 12/31..

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