What is the present value of these cash flows

Assignment Help Managerial Accounting
Reference no: EM133020484

Question - An investment provides you with 2 annual cash annual cash flows of $600 starting in year 4.

A. If you require a 6% return, what is the present value of these cash flows?

B. If this project costed $900 to invest in, would it be worth it?

Reference no: EM133020484

Questions Cloud

What amount of deferred tax liability should smith report : The tax rate for 20X1 and all future years was 21%. What amount of deferred tax liability should Smith report in its December 31, 20X1, balance sheet
Determine the material price variance : Determine the material price variance and the material quantity variance for March. Indicate whether each variance is favorable or unfavorable
What would be the balance of the deferred tax asset : The machine is acquired on 1 July 2015 at a cost of $500,000. What would be the balance of the deferred tax asset or deferred tax liability as at 30 June 2018
Develop a socio-economic and legal assessment report : Develop a ‘Socio-economic and legal assessment report' - Provide some background information on the chosen case study organisation
What is the present value of these cash flows : An investment provides you with 2 annual cash annual cash flows of $600 starting in year 4. If you require a 6% return, what is the present value of these cash
How much is the stock worth : Assume that the annual dividend grows at a constant rate of 8% indefinitely instead of the supernormal growth. How much is the stock worth
Provide a critical analysis of the current issues : Provide a critical analysis of the current issues/concepts that are relevant to your chosen organisation. To achieve this, you must explore macro-economic
Explain what are the ethical standards that cover : Explain what are the ethical standards that cover?
Develop demand forecasts based on historical data : Explain your goal in applying each concept to the environment that you have described - Evaluate the applicability of each of the concepts that you've selected

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

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