User Account

All Pages

What is the npv of project-kolby korndogs

Assignment Help Finance Basics
Reference no: EM132444344

Kolby's Korndogs is looking at a new sausage system with an installed cost of $765,000. This cost will be depreciated straight-line to zero over the project's six-year life, at the end of which the sausage system can be scrapped for $100,000. The sausage system will save the firm $188,000 per year in pretax operating costs, and the system requires an initial investment in net working capital of $46,000. Required: If the tax rate is 35 percent and the discount rate is 7 percent, what is the NPV of this project?

Reference no: EM132444344

Questions Cloud

Explain each type of learning in detail : Provide a real-world example of each type of learning and explain how each method is applied in each of your examples. You should discuss one example.
What are the advantages of asset allocation : From completing the allocation, what are the advantages of asset allocation? How could the time your investments have to work for you and your age affect
Examine cultural relativism as an ethical theory : What are Aristotle's criteria for happiness, and why according to Aristotle does neither pleasure, nor honor, nor wealth constitute happiness?
Do you believe that erm will continue to evolve : Do you believe that ERM will continue to evolve, and if so, how? Do believe that risk is a two-sided coin with both upside gains and downside losses?
What is the npv of project-kolby korndogs : Kolby's Korndogs is looking at a new sausage system with an installed cost of $765,000. This cost will be depreciated straight-line to zero over the project
Where do art therapists practice : What setting were you most surprised to see served by art therapists? Why? Least surprised? Why? Do you think there are settings that are more beneficial
Summarize the data collection techniques in brief : Summarize 3 data collection techniques (Interviews, Surveys, Observations, Focus Groups, etc.). Compare and contrast the 3 data collection techniques you.
How can noise be reduced in a dataset : What's noise? How can noise be reduced in a dataset? Define outlier. Describe 2 different approaches to detect outliers in a dataset.
Discuss violence in company : Discuss military contributions to violence, as well as the human consequences of violence as described in Shay's "Betrayal of ‘What's Right.'"

Reviews

Write a Review

Finance Basics Questions & Answers

  Percent and the market risk premium

The risk-free rate is 6.7 percent and the market risk premium is 5 percent. Assume that required returns are based on the CAPM.

  Value of the project if corporate tax

Your firm has an expected return on equity of 12% and an expected return on debt of 6%. What is the value of the project if the corporate tax rate is 40%?

  What are electronic communications networks

What are stock exchanges? How do they facilitate the trading of stocks?- What are Electronic Communications Networks (ECNs)? How are ECNs used?

  Calculate the growth rate in dividends

Suppose you purchase a share of The Ludwig Corporation stock for $21.40. You expect it to pay dividends of $1.07, $1.1449, and $1.2250 in Years 1, 2, and 3, respectively, and you expect to sell it at a price of $26.22 at the end of 3 years.

  What is the duration of a bond

What is the duration of a two-year bond that pays an annual coupon of 1 percent and has a current yield to maturity of 2 percent? Use $1,000 as the face value.

  For how much will the manufacturer credit account

Bernice's bike shop receives the following Trade discounts:35/25/15. The vendors price list indicates that 35 percent off list price is for purchasing bikes.

  In general terms how would a change in investment

in general terms how would a change in investment opportunities affect the payout ratio under the residual payment

  Managerial decision making research and analysis

Research a specific company of your choice and identify some of the managerial decisions that were made over time and in response to changes in its market or competitive environment. Use the Ashford University Library and web-based sources for your r..

  Ten years ago in 2003 george reeby founded a small

individual assignmnet corporate financeten years ago in 2003 george reeby founded a small mail-shy-order company

  How much is brooke gain or loss on the sale

Brooke inherited a mountain cottage from her grandmother. The cottage was worth $66,000 at the time and had a basis to the grandmother of $44,000.

  The dealer will lend you the entire amount at 39 percent

you just found your dream car. the car will cost you 36800. the dealer will lend you the entire amount at 3.9 percent

  Develop a proposal that includes a financial breakdown

You need to develop a proposal that includes a financial breakdown of startup costs and projected income and expenses for five years

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd