User Account

All Pages

What is the pre-tax amount of the cash flow in year

Assignment Help Accounting Basics
Reference no: EM133111328

Question - Kempf Corporation faces a marginal tax rate of 35 percent. One project that is currently under evaluation has a cash flow in the fourth year of its life that has a present value of $10,000 (after-tax). Kempf Corporation assumes that all cash flows occur at the end of the year and the company uses 11 percent as its discount rate. What is the pre-tax amount of the cash flow in year 4?

a. $8,868

b. $9,868

c. $15,181

d. $23,356

Reference no: EM133111328

Questions Cloud

Individuals face with prescreening services : Many could have had a better diagnosis if caught earlier. What are barriers individuals face with prescreening services?
What is the variance of returns for investment : C). Your investment in A Limited earned the following returns for the years 1996 to 1999: 30%, 40%, 15% and 7%. What is the variance of returns for this investm
Buying shares in a mutual fund : 1. Banks earn profits by selling securities with attractive combinations of liquidity, risk, and return, and using the proceeds to buy assets with a different s
Mutual fund managers at screening companies : Provide 3 examples on why private equity fund managers may have an advantage over mutual fund managers at screening companies.
What is the pre-tax amount of the cash flow in year : One project that is currently under evaluation has a cash flow in the fourth year of its life that has a present value of $10,000. What is the pre-tax amount
Explain how the carried interest is calculated : Explain how the carried interest is calculated for a typical private equity fund.
Relevance of reliance industries : 2. Suppose the dividend pay out resulted in the company requiring external funds to meet the proposed operation, would it have resulted in a higher cost of capi
Annualized rate of return on investment : Three years ago you purchase 700 shares of a stock for $22 a share today you saw those shares for $25 a share what was your annualized rate of return on this in
What is the proportion x : You manage a risky portfolio with an expected rate of return of 17% and a standard deviation of 27%. The Treasury-bill rate is 7%.

Reviews

Write a Review

Accounting Basics Questions & Answers

  What hillside period costs total

Sales commissions, KD 40,000; plant supervision, KD 94,000; and administrative expenses, KD 185,000. Hillside's period costs total

  Should available for sale securities always

Should available-for-sale securities always be reported as a current asset? Explain.

  Break-even transactions

Determine if you should open the retail shop in this vacant space. Include the break-even transactions, CM%, and the break-even dollar amount. Explain your answer (include rationale if your answer is yes or no).

  Calculate the number of equivalent units of production

Department R had 4,400 units in work in process that were 70% completed as to labor and overhead at the beginning of the period; 29,300 units of direct material

  What is the balance of share premium after recapitalization

The shareholders equity account immediately before the split shares were share capital 3,000,000 share, What is balance of share premium after recapitalization

  Determine the largest capacity heavy-duty dragline bucket

Determine the largest capacity heavy-duty dragline bucket that can be used on a dragline equipped with 70 ft of boom when the boom is operating at an angle.

  The inventory cost can be taken from the perpetual inventory

The ending inventory cost can be taken from the perpetual inventory record in Part

  Compute the direct labor rate variance

ADDESSI CORPORATION manufactures a full line of chairs. ADDESSI uses a standard costing system to set attainable standards for direct materials.

  Prove the equality of the accounting equation

Create an accounting equation and record the beginning account balances under the appropriate elements.

  Critically assess the accountant evaluation of the project

Skyline Walkways Ltd is planning a project that is expected to last for 8 years. Critically assess the accountant's evaluation of the project

  How many units should be produced in january

A company budgeted unit sales of 154000 units for January, 2017 and 160000 units for February 2017. How many units should be produced in January

  Bharat company has a factory machine with a book value of

bharat company has a factory machine with a book value of 89851 and a remaining useful life of 4 years. a new machine

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