What is the net present worth at an interest rate

Assignment Help Financial Accounting
Reference no: EM13825971

1. A project has a first cost of $14,000, uniform annual benefits of $2400, and a salvage value of $3000 at the end of its 10-year useful life. What is the net present worth at an interest rate of 12%?

$560

$526.45

$500.24

$500.45

2. The project in question 1 is acceptable?

True

False

3. If you are comparing four alternatives with all having a PW > 0, your conclusion will be that all alternative are not acceptable?

True

False

4. In question 3, the alternative with largest PW will be most feasible?

True

False

Reference no: EM13825971

Questions Cloud

What is the required return for Arch Coal stock : According to your research, the growth rate in dividends for Arch Coal for the previous 10 years has been 3.5 percent. If investors feel this growth rate will continue, what is the required return for Arch Coal stock?
Calculation of current selling price of a bond : A 10-year Treasury bond with a $1,000 par value has a 12% coupon and pay interest every 6 months. The bond is three years old and has just made its sixth payment. If interest rates fell to 8%, what would price would these bonds sell at?
Cope with the ambiguity of human freedom : Which is a way some people cope with the ambiguity of human freedom? drifting shared decision making appealing to some type of authority All of the above.
Premium theory of the term structure of interest rates holds : Suppose we observe the following rates: 1R1= .10, 1R2= .16, and E (2r1) = .10. If the liquidity premium theory of the term structure of interest rates holds, what is the liquidity premium for year 2?
What is the net present worth at an interest rate : A project has a first cost of $14,000, uniform annual benefits of $2400, and a salvage value of $3000 at the end of its 10-year useful life. What is the net present worth at an interest rate of 12%?
Premature infant delivery and care from midwives and nursing : Premature Infant Delivery and the Care from Midwives and Nurses
Result in initial aftertax cash savings-maximum initial cost : Scanlin, Inc., is considering a project that will result in initial aftertax cash savings of $1.83 million at the end of the first year, and these savings will grow at a rate of 2 percent per year indefinitely. What is the maximum initial cost the co..
Which of the theoretical approaches : Which of the theoretical approaches (such as functionalist, conflict, symbolic interactionist, postmodern, etc.) do you feel is most accurate when describing the social world and the social problems within it? You can list more than one. Please expla..
Describe data collection and analysis methods : Identify a business research topic and define the research questions for the identified problem or opportunity

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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