What is the npv of investment

Assignment Help Finance Basics
Reference no: EM132484109

Muncy, Inc., is looking to add a new machine at a cost of $4,133,250. The company expects this equipment will lead to cash flows of $816,822, $863,275, $937,250, $1,019,112, $1,212,960, and $1,225,000 over the next six years. If the appropriate discount rate is 15 percent, what is the NPV of this investment? Round to two decimal places.

Reference no: EM132484109

Questions Cloud

What would be a useful approach to the given request : What would be a useful approach to this request? How would you explain to this group of patients the potential complications of diabetes and the impact.
What is the npv of project : Cortez Art Gallery is adding to its existing buildings at a cost of $2 million. The gallery expects to bring in additional cash flows of $520,000, $700,000
What is the interest income received by the bondholders : What does Kiwi Co. report on their 2018 income statement, as interest expense related to these bonds, and what is the interest income received
Calculate the expected return and portfolio beta : How do I find the standard deviation of a firm and how do I calculate the expected return and portfolio beta?
What is the npv of investment : If the appropriate discount rate is 15 percent, what is the NPV of this investment? Round to two decimal places.
Discuss the complications that might develop in the patient : Jane, a 20-year-old female, tests positive for the human immunodeficiency virus (HIV). She has only been sexually active for a year, although no other likely.
Describe your conversation partner beliefs : Describe your conversation partner's beliefs. Some things to consider include the following: What are the material expressions of their tradition.
How much did shareholders initially invest in the business : The company earned $75,500 during the first year, and distributed $35,000 to shareholders as dividends. How much did shareholders initially invest in business
Explain particular current event or issue in the middle east : Explain one particular current event or issue in the Middle East in which the religion(s) of the area affect other people's perceptions of that religion.

Reviews

Write a Review

Finance Basics Questions & Answers

  Money must you deposit today than your sister

How much more money must you deposit today than your sister did if you are to have the same amount at the end of the 5 years?

  What amount would she receive in disability benefits

Georgia, a widow, has take-home pay of $600 a week. Her disability insurance coverage replaces 70 percent of her earnings after a four-week waiting period.

  How much the firm can pay for the project

A firm is considering a project that will generate perpetual after-tax cash flows of $21,000 per year beginning next year.

  What is ebit

Nina Corp. uses no debt. The weighted average cost of capital is 7.5 percent. If the current market value of the equity is $13 million and there are no taxes.

  What is a pricing anomaly and mean reversion

What is a pricing anomaly? How might an investor use a pricing anomaly to earn above average returns?- What is mean reversion? How might an investor use mean reversion to earn above-average returns?

  How do renaissance madrigals illustrate this shift

How do Renaissance madrigals illustrate this shift in philosophy? What does it have to do with polyphony

  Optimum capital structure

The firm's target capital structure is set at a mix of 40 percent debt and 60 percent equity. Assuming this as the optimum capital structure, the value

  Significant challenges facing the healthcare system

Determine the three most significant challenges facing the healthcare system due to changes in financial mechanisms?

  What is the mirr

A) If the firm's WACC is 12.1%, and the project costs $850,000, what is the NPV? B) What is the MIRR?

  Sm johnson has created some financial goals for himself

sam johnson has created some financial goals for himself. he is 40 years old currently has a great job and pays his

  Pre-tax annual cost of debt

The bond carries an annual coupon payment of 12% of the face value which is paid in two semiannual payments. The bond will mature in 15 years and it's face value is $1000. What is guls pre-tax annual cost of debt?

  Chance to corrupt and commit financial crime

Write an essay about enron scandal.Answering following questions: Why did the top managers get the chance to corrupt and commit financial crime?

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