What is the irr of the project

Assignment Help Finance Basics
Reference no: EM132502689

PowerRus Company is considering a project that calls for an initial cash outlay of $50,000. The expected net cash inflows from the project are $6,000 every two years in perpetuity. What is the IRR of the project?

Reference no: EM132502689

Questions Cloud

Find the amount and compound interest : Find the amount and compound interest of $ 57,250 at 5 1/4% for the 10 year period calculated:
Find return on investment must have been : Average operating assets of $400,000 and sales of 1,200,000. If the company's profit margin (ROS) is 12%, their Return on Investment must have been
Find the amount of x monthly payment : Mr. X bought a house for $293,000. He put 20% down and obtained a fully amortized monthly loan for the balance at 5.75% interest for 30 years.
Which fixed assets may be included at any value except : When using average operating assets to measure investment, fixed assets may be included at any value except,Net book value of fixed assets
What is the irr of the project : The expected net cash inflows from the project are $6,000 every two years in perpetuity. What is the IRR of the project?
What is the current market yield on bond : These bonds have a coupon rate of 4.15 per cent and pay semiannual coupons. What is the current market yield on this bond
Explain the effect of behavioral theories : Explain the effect of behavioral theories to capital budgeting?
Construct a contribution format income statement : Construct a contribution format income statement for the month based on the actual sales data. Compute the break-even point in dollar sales
How much will she have to invest annually to reach : How much will she have to invest annually to reach her target? (Round to the nearest dollar.)

Reviews

Write a Review

Finance Basics Questions & Answers

  How much will the insurance company pay

If no previous medical charges have been incurred in the current policy year and she suffers a $350 covered loss, how much will the insurance company pay?

  How would you conduct a difference-in-difference analysis

Suppose that five states reduce income taxes in a given year. You are interested in estimating whether the tax cut has increased saving, and you find.

  Determining the correlation among two or more variables

1.What is correlation and when would a researcher be interested in determining the correlation among two or more variables?

  What is the net amount paid

Assuming that the spot rate in 90 days is $0.75, what is the net amount paid, assuming Cane wishes to minimize its cost?

  Success of the scientific revolution

Bronowski, in this week's episode of The Ascent of Man, describes the two great books that Galileo wrote late in his life

  What is the current value to an investor

What is the current value to an investor who has a required rate of return of 12 percent? The current dividend is $1.00 and the dividends

  Compared to the average worker in organization

Are U.S. Executives paid too much particularly compared to the average worker in their organization?

  Computing the current cost of capital

Problem: Tessa wants to buy or lease a printing machine. The printing machine costs $7000 right now and it would last only 10 years.

  Identify the risks in a convertible arbitrage strategy that

identify the risks in a convertible arbitrage strategy that takes long positions in convertible bonds hedged with short

  Inventory in some months than it is selling

If your business is producing more inventory in some months than it is selling, then is it quite possible that cash disbursements may be greater than cash.

  What is the value of a stock that you believe

What is the value of a stock that you believe will sell in three years for $67 a share and will pay $3.00 in dividends next year

  Experience crises due to changes in economic conditions

Organizations can experience crises due to changes in economic conditions. In an economic downturn where individuals lose their jobs, many also lose their medical insurance coverage. With fewer employees on the payroll, states receive less revenue..

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