What is the payback period for this gallery

Assignment Help Managerial Accounting
Reference no: EM133178354

Question - The CWB Company is considering opening a new gallery which is expected to generate the following cash flows over 5 years.

Central

Investment cost in Year 0, HKD 460,003

Cash Flows in Year 1, HKD 70,000

Cash Flows in Year 2, HKD 100,000

Cash Flows in Year 3, HKD 130,000

Cash Flows in Year 4, HKD 140,000

Cash Flows in Year 5, HKD 140,000

Salvage Value in Year 5, HKD 100,000

Required - Assume that cash flow is uniform within each year, what is the payback period for this gallery?

Reference no: EM133178354

Questions Cloud

What condition would be considered the first-listed : You will utilize your coding manual and review one of the three scenarios below. If your last name starts with the letter A-F, Scenario 1. If your last name sta
What is the variable overhead efficiency variance : Margin Inc. has the following standards: Direct labor rate $11 per d.l. hour. What is the variable overhead efficiency variance
Contributed to reduction in union membership : Identify the factors that have contributed to the reduction in union membership. Be sure to include the rationale you use in your speaker notes.
Describe the organizational analysis : Describe the Organizational Analysis component of the TNA process.
What is the payback period for this gallery : Investment cost in Year 0, HKD 460,003. Assume that cash flow is uniform within each year, what is the payback period for this gallery
Introduction and analysis of business environment : Submit Milestone One: Introduction and Analysis of Business Environment for your chosen case study. You will characterize the organization you have chosen for y
Develop positive trust climate for change : There are seven major methods to overcoming resistance to change-develop a positive trust climate for change, plan the change
Discussion on need for healthcare managers in organization : Brief on the force field theory A discussion on the need for healthcare managers in the organization to understand the internal and external environments
Rater errors in performance appraisals : In evaluating an employee's performance, it is very common for the rater (manager or supervisor) to make mistakes in their assessment of the employee's performa

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Solve issue price if market interest rate is eight percent

How do Calculate the issue price if the market interest rate is 8%. On October 1, 2002, Allar Inc. Has available for issue $618 000 bonds

  What the expected gross margin next month is

What The expected gross margin next month is? Gasson Company is a merchandising firm. Next month the company expects to sell 800 units.

  Compute the selling price using the variable cost method

It expects to produce and sell 11,400 snowboards in the next year. Compute the selling price using the variable cost method

  Compute the machine internal rate of return

Compute the machine's internal rate of return. Give your answer in decimal form. Hint: be sure you give the interest rate not the factor.

  Inventory information for several oil paintings follows

Boston Galleries uses the specific identification method for inventory valuation. Inventory information for several oil paintings follows.

  Calculate the gross profit and operating income for March

Net Sales Revenue $45,300. Calculate the gross profit and operating income for March using absorption costing

  Which product should marigold emphasize to its customers

The deluxe has a 23.5 percent contribution margin. If other factors are equal, which product should Marigold emphasize to its customers?

  What are the costs of goods acquired from suppliers

In managing inventory, what are the costs of goods acquired from suppliers including incoming freight or transportation costs known as?

  What is book value at the end of the twenty-eighth year use

A building with a cost of $1,800,000 has an estimated residual value of $125,000, What is the book value at the end of the twenty-eighth year of use

  What the investment net present value will

Accelerated Cost Recovery System (MACRS) for the analysis and changes to the straight-line depreciation, the investment's net present value will

  Calculate the monthly profit during a summer month

Management Accounting Assignment- Calculate the monthly profit during a Summer month when all 40,000 boxes produced in a month are sold.

  Assume the sales mix remains unchanged

Use Pepperpike Coffee's operating leverage factor to determine its new operating income if sales volume increases 15%. Prove your results using the contribution margin income statement format. Assume the sales mix remains unchanged.

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