What is the net return on investment

Assignment Help Finance Basics
Reference no: EM13274962

A firm has an average investment of $1000 during the year. During the same time the firm has an after tax earnings of $150. If the cost of capital is 10%, what is the net return on investment?

Reference no: EM13274962

Questions Cloud

Discuss the fundamental advantages and disadvantages : Companies that currently use expert systems. Next, discuss the fundamental advantages and disadvantages of using expert systems instead of human expertise within the companies that you have selected. Provide a rationale to support your response..
Explain the empirical and molecular formulas of quinine : The molar mass of quinine is 324 g/mol. Determine the empirical and molecular formulas of quinine. (Type your answer using the format CO2 for CO2 and use the order CHNO) empirical molecular
What is the current value of the property : A rental property is providing 13% rate of return. Next year's rent is expected to be $1.0 million and is expected to grow at 3% per year forever. What is the current value of the property? a. 7.7 million b 10 million c. 33.3 million d. none of th..
Locate the horizontal coordinate of the center of gravity : Pat builds a track for his model car out of wood. The track is 14.00 cm wide, 3.00 m long, Locate the horizontal coordinate of the center of gravity of this track
What is the net return on investment : A firm has an average investment of $1000 during the year. During the same time the firm has an after tax earnings of $150. If the cost of capital is 10%, what is the net return on investment?
What is the speed of the wave : What is the speed of the wave and draw a snapshot graph of this wave at t = 0 s.
Find out the empirical formula of compounds : Determine the empirical formula of each of the following compounds. Type your answer using the format CH4 for CH4 and list the elements in the same order as they are mentioned in the problem.
Compute the instantaneous acceleration of the puck : Two hockey players strike a puck of mass 0.169 kg with their sticks simultaneously, exerting forces of 1.17 103 N, compute the instantaneous acceleration of the puck
Explain a feed mixture of ethanol and water : A feed mixture of ethanol and water is 40 mole % ethanol. The feed is at 200 degrees Celcius and is at a high enough pressure that it is liquid. It is input into the column through a valve, where is flashes. Column pressure is 1 kg/cm^2. Find the ..

Reviews

Write a Review

Finance Basics Questions & Answers

  What are the convexities of the 2 portfolios

What are the convexities of the 2 portfolios? To what extent does (a) duration and (b) convexity explain the difference between the percentage changes calculated in part c?

  Describe the salary of a fund manager

A mutual fund declares that the salaries of its fund managers will depend on the performance of the fund. If the fund loses money, the salaries will be zero.

  Compute the market value of the bonds

Sincere Stationary Corporation needs to raise $500,000 to improve its manufacturing plant. It has decided to issue a $1,000 par value bond with a 14 percent annual couppn rate and a 10-year mautrity. The investors require a 9 percent rate of retur..

  Find cost figure used in setting a minimum bid price

The Hughes firm is involved in a competitive bidding situation. Variable costs related to the project total $290,000. and allocated fixed overhead is $95,000.

  Examine the marketing mix elements

The success of this product represents a success for marketing. In this discussion thread we will examine some of the reasons for its success.

  Computation of ytm if the bonds are purchased at issue price

Computation of YTM if the bonds are purchased at Issue price & Market price and analyzing the difference

  Determine the npv at time period zero of the cash flows

Recall that this step determines the amount that could be deposited today, to satisfy the education funding need

  Why each generic competitive strategy requires different set

Explain why each generic competitive strategy requires a different set of product/market/distinctive-competency choices. Provide an example of this for the computer industry, why do they have different competitive strategies?

  What growth rate is expected for the companys stock price

The stock price of Russell, Inc. is $81. Investors require a 14 percent rate of return on similar stocks. If the company plans to pay a dividend of $4.20 next year, what growth rate is expected for the company's stock price?

  What is the wacc

If the company's proxy for retained earnings is calculated at 15%, with a 50/50 debt to equity split in capital structure, what is the WACC?

  Portfolio analysis and investment seminar

Suppose you have asked to participate in a portfolio analysis and investment seminar where you will be providing data to potential investors.

  Computation of break even points

Computation of break even points - Evaluate the number of copies East must sell in order to earn an (operating) profit of $21,000 on this book.

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