What is the project payback

Assignment Help Finance Basics
Reference no: EM131898328

Suzanne's Cleaners is considering a project that has the following cash flow data. What is the project's payback?

Year                         0           1             2          3          4          5

Cash Flows     -$1,1000     $300      $310     $320     $330     $340

Reference no: EM131898328

Questions Cloud

Stock and the remaining in t-bills : What is the expected return to an investor who decides to invest 70% of his portfolio in the stock and the remaining in T-bills?
Constant dividend payout ratio-constant debt-equity ratio : Assume the firm has a constant dividend payout ratio and a constant debt-equity ratio. What is the sustainable growth rate the firm can achieve
What is the implied annual rate : 1. What is the implied annual rate if you deposit $750 and receive $2,000 in 8 years, assuming interest is compounded quarterly?
Evaluate the strengths and limitations of current knowledge : Evaluate the strengths and limitations of current knowledge and the resources available with regard to the selected theory.
What is the project payback : Suzanne's Cleaners is considering a project that has the following cash flow data. What is the project's payback?
What is the yield to maturity : What is the yield to maturity? Assume semiannual payments and submit your answer as a percentage rounded to two decimal places.
Rate of interest on investment : How much will they need at retirement if they can earn a 4% rate of interest on their investment?
Calculate the dv01 of a 31-year annual-pay : Calculate the DV01 of a 31-year annual-pay floating-rate annuity in a 3% yield environment.
How many shares would be outstanding : If the face value is $0.05 per share, how many shares each investor, including yourself, would receive? How many shares would be outstanding?

Reviews

Write a Review

Finance Basics Questions & Answers

  Multitude of differences with risk level

When investing in bonds, there are a multitude of differences with risk level, time to maturity, and specific provisions, etc. One such provisional feature is known as a sinking fund.

  Required rate of return on this stock according to model

What is the required rate of return on this stock according to the model?

  Calculate annual depreciation allowances for both machines

In addition, the new machine is expected to reduce the number of defective bottles, which will saw an additional $25,000 annually.

  How much does the investor gain or lose

An investor enters into a short forward contract to sell 100,000 British pounds for US dollars at an exchange rate of 1.4000 US dollars per pound. How much does the investor gain or lose if the exchange rate at the end of the contract is.

  Southwest technologys common stock is selling at 30 per

southwest technologys common stock is selling at 30 per share today. southwest just paid a 2 dividend. its dividend is

  Importance of statistics in business decision making

1. What is the importance of statistics in business decision making? Describe a business situation where statistics was used in making a decision.

  What is the meaning of the computed net present value figure

What is the meaning of the computed net present value figure? For the press brake project, at what annual rates of return do the net present value and internal rate of return methods assume that the net cash inflows are being reinvested?

  What macroeconomic and microeconomic factorscontribute

Part 11.    What macroeconomic and microeconomic factorscontribute tochangesin the required rate of return for individual investments and investments in general?Explain each of them.

  Havanna tobacco farms just paid a dividend of 400 pesos on

havanna tobacco farms just paid a dividend of 400 pesos on its stock. the growth rate in dividends is expected to be a

  Would changes in cost of capital ever cause a change in irr

What is the logic behind the NPV capital-budgeting framework? Would changes in the cost of capital ever cause a change in the IRR ranking of several projects?

  Determine expected return

Suppose you have two hundred shares of Somner Resources preferred stock, which currently sells for $40 per share and pays annual dividends of $3.40 each share.

  Define direct marketing and give some real world examples

Define direct marketing and give some real world examples

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