What is the payback period for the investment project

Assignment Help Financial Management

Reference no: EM132022236

1. You plan to make quarterly deposits into a fund that pays an interest rate of 9% per year. Interest will be compounded monthly. If you invest $4,000 each quarter for 8 years what is the amount of money you will have at the end of the 8 years?

2. What is the discounted payback period for the investment project that has the following cash flows, if the discount rate is 14 percent?

Year Cash flows

0 -4539

1 2093

2 2759

3 2905

4 2142

3. What is the payback period for the investment project that has the following cash flows?

Year Cash Flows

0 -66692

1 27535

2 27640

3 29204

4 27093

Reference no: EM132022236

Questions Cloud

Determine your best course of action for bringing : Determine your best course of action for bringing this project in on schedule and update your project plan to reflect your recommendation.

Overall success of the business : Looking at Human Resource Management, which function do you think would be most crucial for the overall success of the business?

Why did you select the given organization : Write a 1,250 word paper that addresses the following questions: How does the organization actively demonstrate these principles?

Activities and efforts the generational diversity : Discuss bridging this gap early on in a project to ensure that no messages or communications are lost due to these generational elements.

What is the payback period for the investment project : What is the payback period for the investment project that has the following cash flows?

Discuss the uses of market research : What are some uses of market research using secondary data resources? The response must be typed, single spaced.

Identify one or more sources of strategic risk : Identify one or more sources of strategic risk on the horizon today. Does it offer both danger and opportunity for the future?

Notification in advance of shipment : Instead of a bone marrow sample, think outside the box. What is a non-medical product that needs the Fed Ex approach to notification in advance of shipment?

Explain how sampling procedure is used : Answer in 150 words. Give an example of a sampling procedure and explain how it is used. The response must be typed.

User Account

All Pages