What is the payback period

Assignment Help Basic Statistics
Reference no: EM132000347

Albury Company is adding a new assembly line at a cost of $8.5 million. The company expects the project to generate cash flows of $2 million, $3 million, $4 million, and $5 million over the next four years. Its cost of capital is 16 percent. What is the payback period for this project (rounded to one decimal place)?

Reference no: EM132000347

Questions Cloud

How much are you willing to pay today to purchase one share : Michael's, Inc. just paid $2.50 to its shareholders as the annual dividend. Simultaneously, the company announced that future dividends will be increasing.
What will be his consumption next year : If Mr. Free consumes $30 this year and invests the rest in the market, what will be his consumption next year?
What is the npv of investment : If the appropriate discount rate is 17.1 percent per annum, what is the NPV of this investment (to the nearest dollar)?
Determine the annual cost of purchasing the new technology : Michelin is considering going ‘‘lights-out'' in the mixing area of the business that operates 24/7. Currently, personnel with a loaded cost of $600,000.
What is the payback period : Its cost of capital is 16 percent. What is the payback period for this project (rounded to one decimal place)?
What is the npv of project : If the appropriate discount rate for the company is 15.9 percent, what is the NPV of this project (to the nearest dollar)?
Calculating the price of the bond : Microhard has issued a bond with the following characteristics: Principal: $1,000 Time to maturity: 20 years Coupon rate: 8 percent, compounded annually Annual.
Determining the expected annual return : If the account has an expected annual return of 10%, how much will Anne expect to have in her account on her 65th birthday?
How much are you willing to pay for the stock today if : How much are you willing to pay for the stock today if you require a 14% return on investment

Reviews

Write a Review

Basic Statistics Questions & Answers

  Statistics-probability assignment

MATH1550H: Assignment:  Question:  A word is selected at random from the following poem of Persian poet and mathematician Omar Khayyam (1048-1131), translated by English poet Edward Fitzgerald (1808-1883). Find the expected value of the length of th..

  What is the least number

MATH1550H: Assignment:  Question:     what is the least number of applicants that should be interviewed so as to have at least 50% chance of finding one such secretary?

  Determine the value of k

MATH1550H: Assignment:  Question:     Experience shows that X, the number of customers entering a post office during any period of time t, is a random variable the probability mass function of which is of the form

  What is the probability

MATH1550H: Assignment:Questions: (Genetics) What is the probability that at most two of the offspring are aa?

  Binomial distributions

MATH1550H: Assignment:  Questions:  Let’s assume the department of Mathematics of Trent University has 11 faculty members. For i = 0; 1; 2; 3; find pi, the probability that i of them were born on Canada Day using the binomial distributions.

  Caselet on mcdonald’s vs. burger king - waiting time

Caselet on McDonald’s vs. Burger King - Waiting time

  Generate descriptive statistics

Generate descriptive statistics. Create a stem-and-leaf plot of the data and box plot of the data.

  Sampling variability and standard error

Problems on Sampling Variability and Standard Error and Confidence Intervals

  Estimate the population mean

Estimate the population mean

  Conduct a marketing experiment

Conduct a marketing experiment in which students are to taste one of two different brands of soft drink

  Find out the probability

Find out the probability

  Linear programming models

LINEAR PROGRAMMING MODELS

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