What is the project discounted payback

Assignment Help Financial Accounting
Reference no: EM132777225

Question - Ander Co. is considering a project that has the following cash flow and WACC data.

WACC: 7.50%

Year

0

1

2

3

Cash flows

-$1,200

$350

$450

$750

Required -

a. What is the project's NPV?

b. What is the project's IRR?

c. What is the project's discounted payback?

Reference no: EM132777225

Questions Cloud

What is the maximum you should pay for the property : If you can earn 10 percent on your funds, what is the maximum you should pay for the property? Note that there are unequal payments to consider
How much would you have in the account : If you invest $325 per month for the next 12 years earning 6% (annual rate) compounded monthly, how much would you have in the account
What is the total value assigned to the new piece : The new piece of equipment is expected to have a 10 year life and a salvage value of $15,000. What is the total value assigned to the new piece of equipment
Discussed over span of two different administrations : Pick one federal policy that was discussed over a span of two different administrations.
What is the project discounted payback : Ander Co. is considering a project that has the following cash flow and WACC data. What is the project discounted payback
What is functional equivalent of the border : What is the functional equivalent of the border? What is the Fourth amendment exception as it pertains to border searches?
Calculate the implied cross-rate : Calculate the implied cross-rate between Appleland's and Bananaland's currencies, expressed as the amount of BBB per one unit of AAA
What is the internal rate of return on this investment : The company depreciates its assets on a straight-line basis and has a marginal tax rate of 40 percent. What is the internal rate of return on this investment
Concepts from box-separation of powers : Concepts from box: Separation of powers, checks/balances, equality of opportunity, direct democracy, legitimacy, tryanny, federalism, right to an attorney

Reviews

Write a Review

Financial Accounting Questions & Answers

  What was the corporations profit for the year

Operations with assets of $100,000, liabilities of $75,000, and contributed capital (common shares) of $10,000. What was the corporation's profit for the year?

  Evaluate each of the cfo recommendations

Evaluate each of the CFO's recommendations. In your evaluation, consider whether each recommendation will positively impact the operating performance

  Determine the pre-tax cost for a bond

Determine the pre-tax cost for a bond that sells at $ 925 par value and pays a coupon of $ 85 for 20 years. The flotation costs are $ 5 per bond.

  Treasury stock should be shown on the balance sheet

Treasury stock should be shown on the balance sheet as a(n) _______________. Malloy Company issued its own $10,000, 90-day, non-interest-bearing note to a bank. The only payment Malloy will ever make to the bank will be for $10,000 at the maturity da..

  How much will each class of claimants receive

How much will each class receive if the cash proceeds from the sale of the building amount to only $12.5 million? How much will each class of claimants receive?

  Lessee company leases heavy equipment on january 1 2007

lessee company leases heavy equipment on january 1 2007 under a capital lease from lessor company with the following

  Define discounted cash flow and payback period

Define and describe Net Present Value (NPV) as it pertains to the new cafe and define and describe the internal Rate of Control and define discounted cash flow and payback period

  Which one should be chosen for project

Project B has an $8,000 net present value at a 0% discount rate and an IRR of return of 10%. If the projects are mutually exclusive, which one should be chosen?

  What was the top marginal personal income tax rates

what was the top marginal personal income tax rates in 1980? what is the top rate now? are you in favor of or opposed to the lower marginal rates? why

  Find and prepare the journal entries on december

Prepare journal entries on 12/31/2020 and 12/31/2021. On 1/1/2020, the stockholders of Firm ABC approve a plan that grants the company's CEO options to purchase

  Principal and interest are repaid by making annual payments

On January 1, Year XXX1, Fleming Company borrowed $160,000 cash from the First Trust Bank by issuing a five-year 8 % term note. The principal and interest are repaid by making annual payments beginning on December 31, Year XXX1. The annual payment on..

  Explain the role that security exchange play in market place

Explain why the primary goal of the financial manager should be owner wealth maximization rather that profit maximization for corporation.

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