User Account

All Pages

What is the net present value of the project if the

Assignment Help Accounting Basics
Reference no: EM13571694

Star City is considering an investment in the community center that is expected to return the following cash flows:

  Year Net Cash Flow
  1 $ 35,000
  2
65,000
  3
95,000
  4
95,000
  5
115,000

This schedule includes all cash inflows from the project, which will also require an immediate $215,000 cash outlay. The city is tax-exempt; therefore, taxes need not be considered.
Required:
(a)

What is the net present value of the project if the appropriate discount rate is 25 percent? (Round present value factor for each year to three decimal places. Negative amount should be indicated by a minus sign.)

Reference no: EM13571694

Questions Cloud

The groomers at rensing normally work a total of 650 direct : rensing groomers is in the dog-grooming business. its operating costs are described by the following formulasgrooming
May 21 obtained a 60-day extension on a 9000 trade account : otter corporation whose fiscal year endied june 30 2011 completed the following transactions involving notes payablemay
Izabelle and marta are forming a partnership izabelle will : izabelle and marta are forming a partnership. izabelle will invest a piece of equipment with a book value of 7500 and a
Your parents will retire in 23 years they currently have : your parents will retire in 23 years. they currently have 240000 and they think they will need 1600000 at retirement.
What is the net present value of the project if the : star city is considering an investment in the community center that is expected to return the following cash
Prepare a cash budget for each of the months october : randall company is a merchandising company that sells a single product. the companys inventories production and sales
Individual assignment criminal justice policy process paper : individual assignment criminal justice policy process paperwrite a 1050- to 1400-word paper that describes the criminal
Lng-term debt of 14200 what is the value of the : building a balance sheet culligan inc. has current assets of 5300 net fixed assets of 26000 current liabilities of
Create a report of 3-5 pages including the following review : deliverable length3-5 pagesapa formatted referencesbecause of recent financial disasters in the news the board of

Reviews

Write a Review

Accounting Basics Questions & Answers

  Relevant cost of making and puchasing the component

Compute the relevant cost of making and puchasing the component. Which alternative is less costly and by how much? What qualitative factors might influence the decision about whether to make or to buy the component?

  Deferred revenues in governmental fund accounting

It would seem that a government either has or does not have expendable financial resources as a result of a property tax, grant, or other revenue transaction. Furthermore, no similar concept, such as deferred working capital, is used in business a..

  Explain the term faithful representation

One of the qualitative characteristics included in the revised framework is "faithful representation". Please evaluate the significance of faithful representation in the preparation of Financial Statements. You should Explain the term "faithful re..

  Indicate the type of account

"For each of the following expenditures, indicate the type of account (asset or expense) in which the expenditure should be recorded. Explain your answers.

  Amounts applicable to future services

Orange Cable TV Company, an accrual basis taxpayer, allows its customers to pay by the year in advance ($350 per year), or two years in advance ($680). In September 2009, the company collected the following amounts applicable to future services:

  Prepare a flexible budget performance report for the year

my co. provides the following fixed budget data for the yearsales 20000 units600000cost of salesdirect

  Prepare an incremental analysis report for barnes company

Prepare an incremental analysis report for Barnes Company which can serve as informational input into this make or buy decision.

  Allocate the service department costs using the reciprocal

university printers has two service departments maintenance and personnel and two operating departments printing and

  Journal entries for the transactions involving investments

Provide the National Star Inc. journal entries for the transactions involving its investment in Krypton Labs Inc. during 2010.

  What is giambi inventory turnover

what is Giambi's inventory turnover? Giambi Corp had beginning inventory $10,000, cost of goods purchased $700,000, and ending inventory $140,000.

  Rigby company purchased merchandise from a supplier in hong

1 on january 1 2011 ace electronics purchased a patent for 2000000 cash which allows ace the exclusive legal right to

  Determine the cost of goods available for sale

Determine (1) the ending inventory, and (2) the cost of goods sold under each of the assumed cost flow methods (FIFO, LIFO, and average-cost). Prove the accuracy of the cost of goods sold under the FIFO and LIFO methods.

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