What is the NPV of a project

Assignment Help Financial Accounting
Reference no: EM132945905

Question - What is the NPV of a project that costs $500 to start and returns free cash flows of $50 for 4 years and then $100 forever. The discount rate is 10%.

Reference no: EM132945905

Questions Cloud

What should be the company required rate of return : Priscilla Aidoo has gone public with her Shiloh Enterprise restaurant chain. If her corporate tax rate is 22%, what should be company's required rate of return
What would be the accumulated amount of debt in three years : Shannon borrowed $42,000 from a local bank at 6% compounded semi-annually to start a business. What would be the accumulated amount of debt in three years
What is the firm additional profit contribution from sales : The firm's required return on investment is 20 percent. What is firm additional profit contribution from sales under the proposed relaxation of credit standards
Give all entries during the year : each Company bonds 99% Buttercup Corporation bonds 102%. Give all entries during the year 2019
What is the NPV of a project : What is the NPV of a project that costs $500 to start and returns free cash flows of $50 for 4 years and then $100 forever. The discount rate is 10%
What were Geoff cost of goods sold : Last month, Geoff's net sales were $5,000 while sales revenues were $6,000. His gross margin totaled $3,000. What were Geoff's cost of goods sold
Describe the business model : Visit the websites of Amazon, Apple, and Netflix. Choose one site, assess it against each factor listed below, and submit your analysis. Include your name, comp
What is meant by the phrase target marketing : What is meant by the phrase target marketing and why it is so important to marketing and selling a product or service? Be sure to mention the common target mark
Promote a renewed growth to the region : "The growing globalization and global extent of tourism activity over the last 50 years can be explained by a range of factors but a flattening of percentage gr

Reviews

Write a Review

Financial Accounting Questions & Answers

  Prepare the journal entry to record the call of the bonds

Three years ago American Insulation Corporation issued 10 percent, $820,000, 10-year bonds for $780,000. Debt issue costs were $4,000. American Insulation exercised its call privilege and retired the bonds for $810,000. Prepare the journal entry to r..

  Illustrate what is the normal journal entry for recording

Illustrate what is the normal journal entry for recording bad expense under the allowance method? a)Debit allowance for doubtful accounts, credit accounts receivable.

  When designing audit program and the particular audit tests

When designing the audit program and the particular audit tests, the auditor should keep in mind that _____. A cash dividend of $500 was declared and paid to stockholders simultaneously. The correct journal entry to record the declaration and payment..

  How much should contribute into the savings account annually

You would like to begin saving, How much should you contribute into the savings account annually to have enough saved when your child begins college?

  Analyse the capital structure and important financial ratio

FNRE315 Financial Reporting Assessment. Analyse the capital structure, and important financial ratios. Describe in details of the company's financing sources

  Find what is the cost of goods sold for the year

Williams Company, which uses the perpetual inventory method, If Charter Company uses the LIFO method, what is the cost of goods sold for the year?

  Which financial statements prepared by non-reporting entity

Which Financial statements prepared by non-reporting?Which qualitative characteristic of financial information focuses on the inclusion of relevant information?

  Determine the unit costnbsp from the given datajavadi

determine the unit costnbsp from the given data.javadi company makes a composting bin that is subject to wide seasonal

  Prepare necessary accounts to close the books of the firm

Prepare necessary accounts to close the books of the firm - insolvent and only Ksh. 2,000 could be recovered from his private estate.

  Make the necessary entry to record the payment of payroll

Below is a payroll sheet for Mahogany Company for the month of July. The company is allowed a 1% unemployment compensation rate by the state; the federal unemployment tax rate is 0.8% and the maximum for both is $7,000. Complete the payroll sheet and..

  Calculate the dividends per share on each class

Calculate the dividends per share on each class of stock for each of the four years.

  Determine revenue that would be recognized for each item

Determine the revenue associated with each item that would be recognized during the first month under the accrual method and determine the revenue that would be recognized for each item under the cash basis of accounting.

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