What is the present value of the profits

Assignment Help Financial Accounting
Reference no: EM13746459

Your machine operator is becoming more productive, and generates additional profit each year. You expect to receive $20,000 in profit at the end of this year, but this will increase 5% a year for the next 10 years. If you have an 8% interest rate on your investments, what is the Present Value of the profits over the next 10 years?

Reference no: EM13746459

Questions Cloud

Shares of common stock outstanding : Assume the following: At the end of the year there were 92,623 shares of common stock outstanding and 5,000 shares of non-cumulative/non-participating 8% preferred stock outstanding. Nova wants to issue cash dividends totaling $77,050. Calculate h..
Determine the total charge under each plan : Determine the total charge under each plan for this case: 116 minutes of day calls and 40 minutes of evening calls in a month.
Write a paper that analyzes the role of religion : Write a paper that analyzes the role of religion, race, or gender in shaping the patterns of interaction among Amerindians, Africans, and Europeans in a specific area of the Atlantic World during the period of encounters.
Distinguishing properties of a public good : What are the two distinguishing properties of a public good? Explain each in one or two sentences. Give an example of a public good different from any of the examples in your text or my notes.
What is the present value of the profits : Your machine operator is becoming more productive, and generates additional profit each year. You expect to receive $20,000 in profit at the end of this year, but this will increase 5% a year for the next 10 years. If you have an 8% interest rate on ..
Why is marginal analysis important in economics : Why is marginal analysis important in economics? How do the tutorials Basics of Marginal Analysis and Understanding and Applying Marginal Analysis at the end of this week's lecture reinforce the concepts of marginal analysis? How can any firm find..
Legal and ethical responsibilities do companies have : What legal and ethical responsibilities do companies have to their customers?
Describe the issues facing police departments in society : Write a 700- to 1,050-word paper in which you describe the issues facing police departments in's society
What did leonard consider our true state and real danger : What did Leonard consider "our true state and real danger"? Why did Leonard believe that so many colonists disagreed with his loyalist views?

Reviews

Write a Review

Financial Accounting Questions & Answers

  What is the real future value which will sit

What is the real future value of $10,000 which will sit in a savings account for 20 years, earning 4% interest compounded yearly during a period of 4% annual inflation?

  How many meals must the homs serve each night to earn

Compute the annual breakeven number of meals and sales revenuefor the restaurant. Also compute the number of meals and the amountof sales revenue needed to earn operating income of $75,600 for theyear. How many meals must the Homs serve each night..

  Qvisit a local restaurant for a meal or imagine carefully

qvisit a local restaurant for a meal or imagine carefully about your most current restaurant experience.required1. list

  Removal of legislation pertaining to insider trading

How would advocates of a ‘free market' approach justify the removal of legislation pertaining to insider trading?

  Compute amount of gross profit to be recognized

Compute amount of gross profit to be recognized from the installment sale in 2009, 2010, 2011, 2012, and 2013 using point of delivery revenue recognition. Ignore interest charges.

  Evaluate the projects with different lives

Which project would you recommend using the replacement chain method to evaluate the projects with different lives?

  What financial instruments do you propose to use

Discuss the merits and limitations of each form of financing proposed and how can these be hedged using and what financial instruments do you propose to use.

  Determine the total overhead from the given datawinkle

determine the total overhead from the given data.winkle kotter and zale is a small law firm that contains 10 partners

  Question 1 a review of the accounting records of rayford

question 1 a review of the accounting records of rayford manufacturing showing that the company incurred the subsequent

  Question one of the characteristics unique to governmental

question one of the characteristics unique to governmental and not-for-profit organizations is the inability to remove

  Effects of lifo and fifo methods of inventory system

Effects of LIFO and FIFO methods of inventory system on ending inventory and Which company's valuation of ending inventory in the balance sheet is more likely to approximate replacement cost

  This assignment needs you to use excel make sure to utilize

this assignment needs you to use excel. make sure to utilize the assignment 5 template found in your online course when

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