What is the system worth installing

Assignment Help Finance Basics
Reference no: EM132017849

Question: Newsy Inc. will generate $30,000 per year for the next five years from a new database system. The system requires an investment of 120,000 today. If the opportunity cost of funds is 6%. is the system worth installing? The response must be typed, single spaced, must be in times new roman font (size 12) and must follow the APA format.

Reference no: EM132017849

Questions Cloud

What is the total amount of interest paid on this loan : What is the total amount of interest paid on this loan?
What is total amount of interest paid over life of loan : Construct a loan amortization schedule for a 15 year, 7.75% loan of $10,000,000. What is the total amount of interest paid over the life of the loan?
Find npv of the project if shadow price of capital is given : A new regulatory policy will have an immediate cost of $75 million, and will create costs of $15 million at the end of each of the next two years.
Calculate the maximum free space loss experienced : Calculate the maximum free space loss experienced by the signals sent from sensors. (Assume control centre is located exactly at the centre of the landscape)
What is the system worth installing : Newsy Inc. will generate $30,000 per year for the next five years from a new database system. The system requires an investment of 120,000 today.
Write a testbench to thoroughly test your design : write a TestBench to thoroughly test your design and you will program the BASYS3 board in order to implement your design
What is the profitability index of the transmission : A new transmission in your truck will cost $5,000.00. Luckily, it should reduce maintenance expense by $3,725.00 each year for the next 10 years.
What will the value of the firm be : New Schools expects an EBIT of $87,000 every year forever. The firm currently has no debt, and its cost of equity is 14.6 percent. The firm can borrow at 7.4.
Find what is the expected return of the portfolio : If the return on the market portfolio is 9% and the 90-day T-Bills are selling at 2% (the risk-free rate); is the expected return of the portfolio aligned.

Reviews

Write a Review

Finance Basics Questions & Answers

  Construct a comparative balance sheet

Construct a comparative balance sheet for Contemporary Wood Furniture for year- end 2010 and 2011, including a vertical and horizontal analysis of the comparative balance sheet. Express percent's to the nearest tenth of a percent.

  Identify various financial and investment goals

"WHILE I HAVE A FAIRLY LARGE AMOUNT IN A SAVINGS ACCOUNT, I SHOULD THINK ABOUT INVESTING SOME OF THIS MONEY IN OTHER WAYS." Directions The use of your Daily.

  A 705 percent coupon bond with 17 years left to maturity

a 7.05 percent coupon bond with 17 years left to maturity is offered for sale at 1045.30. what yield to maturity is

  What are expected cash flows for the healthy water project

Cascade Water Company (CWC) currently has 30,000,000 shares of common stock outstanding that trade at a price of $42 per share. CWC also has 500,000 bonds outstanding that currently trade at $923.38 each.

  Computation on selection of portfolio

Computation on selection of Portfolio and A portfolio manager has been asked to construct and manage a portfolio with a capital appreciation objective

  Suggest to contact non-responders

A researcher has received back 52% of questionnaires sent out to three companies. In groups, consider what methods you could suggest to contact non-responders to request they complete and return the questionnaire.

  Is pretax cost of debt is 6 and its cost of equity is 10

melbas toast has a capital structure with 30 debt and 70 equity. its pretax cost of debt is 6 and its cost of equity

  Share to grow by 25 percent to reach 550 for this year

due to growing demand for computer software the perry company has had avery successful year and expects its earnings

  Integrative-conflicting rankings

The High-Flying Growth Company (HFGC) has been growing very rapidly in recent years, making its shareholders rich in the process

  Discuss the advantages and disadvantages of maintaining

discuss the advantages and disadvantages of maintaining multiple manufacturing sites as a hedge against exchange rate

  Discuss how capital budgeting procedures might be used

Discuss how capital budgeting procedures might be used by Personnel managers, Research and development staffs and Advertising executives.

  How many months would it take to reach this objective

Your plan is to accumulate 20%down payment for the car by making monthly payments of $600 in an account that promises to earn at an annual rate of 12%.

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