What is the payback period for this project

Assignment Help Managerial Accounting
Reference no: EM132980419

Question - You are evaluating an investment project costing $11,000 initially. The project will lose 5,000 in year 1 and earn 9,000 in year 2 and then create net cash flows of 4,400 per year for 8 more years, according to the following 10-year schedule:

Year 0: -11000

Year 1: -5000

Year 2: 9000

Year 3: 4400

Year 4-10: 4400

What is the payback period for this project?

If the appropriate discount rate is r = 5%. What is the NPV of this project?

Reference no: EM132980419

Questions Cloud

What is ego identity : What is ego identity? How does it apply to cross-cultural research?
What the price of the medication must have : If the quantity supplied of the medication recently decreased by 30 percent, what the price of the medication must have
Differences between three country er systems : What would be the most important differences between these three country's ER systems? How might these differences shape ER practices at the enterprise level in
What type of tools or analytic approaches relevant for use : What type of tools or analytic approaches is relevant for use by this analyst? A local hospital publicly reported organization discharge data.
What is the payback period for this project : The project will lose 5,000 in year 1 and earn 9,000 in year 2 and then create net cash flows of 4,400 per year. What is the payback period for this project
Describe five characteristics of a person : Describe five characteristics of a person at the self-aware level of ego maturity that influence their ability to resolve conflicts.
How do outline the essential responsibilities : How Outline essential responsibilities of that role and the educational preparation required. Explain what leadership traits, styles, or qualities are required
Relationship between structure-culture in decision-making : Taking into consideration what you have learned this term (Organizational Structure, Culture, Behavior, etc.) provide at least three strategies that would help
What the lever normalized earnings per share : The dividend payout ratio is 30% and the current book value per share is $14. Shares are trading in the market at $ 54. What the Lever´s normalized earnings

Reviews

Write a Review

Managerial Accounting Questions & Answers

  What flexible budget total for these costs is

If 170000 direct labor hours are worked, flexible budget total for these costs is? In the Vaughn Manufacturing, indirect labor is budgeted for $90000

  Compounding interest and the banker

Compounding Interest and the Banker There are many factors influencing the cost of money for both individuals and corporations. Suppose you deposit money in an interest bearing account and at the same time borrow a bit of money from the same ba..

  Find and develop standard cost fo direct cost components

Find and Develop standard cost for direct cost components of a 10-gallon batch of raspberry sherbet. For each direct cost component

  Preparation of a schedule of cost of goods manufactured

ACC200 Introduction to Management Accounting Group Assignment - Task Specification. Preparation of a Schedule of Cost of Goods Manufactured and Cost of Goods Sold. (The schedules may be in the appendix). Explain why some items have been excluded fr..

  What are the qualitative factors of the winnipeg arena deal

What is the financial implications of supplying buns to the Winnipeg Arena? What are the qualitative factors of the Winnipeg Arena deal?

  What zees equivalent unit for conversion cost would be

76000 units were started during the period, and 50,000 units were 20% completed at the end of the period. Zees equivalent unit for conversion cost would be?

  What the overall increase in kennaman net operating

Store I would result in a 20% decrease in sales in Store II. So, the overall increase or decrease in Kennaman's net operating income if Store I is closed is

  Determine the best sales mix

Determine the best sales mix. Rank the services offered in order of their profitability and what would be the total contribution margin generated by Ortiz, assuming the weight-loss support group has the maximum number of patient billings?

  Discuss an example of a restricted resource

Discuss An example of a restricted resource, whether in the production of a product or article, or service. An alternative for this to generate profits

  Calculate the cash receipts from customers during the year

Differentiate between the ‘definition of assets' and ‘recognition criteria of assets' provided in the conceptual framework of accounting

  Determine each of the manufacturing overhead costs

Determine each of the Manufacturing overhead costs,The Fuji Furniture Company manufactures outdoor furniture and incurred the cost

  Prepare incremental cost analysis

Kando Company, Prepare Incremental cost analysis. Should the company continue to manufacture Product A or purchase it for resale?

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