What is the npv if the discount rate is 11 percent

Assignment Help Finance Basics
Reference no: EM133492458

Question: If Haversham Technologies purchases $353,000 of new equipment, they can lower annual operating costs by $107,300. The equipment will be depreciated straight-line to a zero book value over its 7-year life. Ignore bonus depreciation. At the end of the project, the equipment will be sold for $54,000. The company must invest $34,400 in Net Working Capital during the project. What is the NPV if the discount rate is 11 percent and the tax rate is 21 percent?

Reference no: EM133492458

Questions Cloud

How the supervision contract is not being upheld : Review the "Supervisee's Bill of Rights" in Chapter 9 of the textbook. Describe how you would proceed if you were a student intern and needed to confront
What is the primary drawback of the real-rate approach : inflation and the nominal approach, where real cash flows are adjusted to nominal cash flows. What is the primary drawback of the real-rate approach
What legal ways could the tax evader have used : What legal ways could the tax evader have used to avoid being accused of tax evasion - Explain the proper way to avoid paying tax using a tax planning approach
What is the internal rate of return : what is the Internal Rate of Return (IRR) of this project? The required return to the firm is 11%
What is the npv if the discount rate is 11 percent : The company must invest $34,400 in Net Working Capital during the project. What is the NPV if the discount rate is 11 percent and the tax rate is 21 percent
What ideas for your own presentations did you take away from : Identify the person and purpose of the presentation. - Evaluate their ability to persuade. What techniques or principles do they utilize in their speaking
Explain how the health policy you selected might impact : Explain how the health policy you selected might impact the health of the global population. Be specific and provide examples.
Design an emergency room waiting room that can prevent : Design an emergency room waiting room that can prevent the spread of infectious microbes to healthy patients and family members.
What type of signaling molecule is molecule a : What type (hydrophobic or hydrophilic) of signaling molecule is molecule A? How do you know? Explain your answer.

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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