What is this projects equivalent annual cost

Assignment Help Finance Basics
Reference no: EM13259057

A five-year project has an initial fixed asset investment of $310,000, an initial NWC investment of $30,000, and an annual OCF of ?$29,000. The fixed asset is fully depreciated over the life of the project and has no salvage value. If the required return is 11 percent, what is this project's equivalent annual cost, or EAC?

Reference no: EM13259057

Questions Cloud

Examine and evaluate the disparity : Examine and evaluate the disparity of your state's budget allocation for education and property tax to the various localities.
The normal return on investment equals : A women managing a photocopying establishment for $25,000 per year decides to open her own duplicating place. Her revenue during the first year of operation is$120,000.
In what ways did film production in the soviet bloc nations : In what ways did film production in the Soviet bloc nations adhere to and depart from the Soviet industry structure and the Socialist Realist aesthetic?
Prepare statement of cash flows using the indirect method : The investments were sold for $175,000 cash. Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities?
What is this projects equivalent annual cost : If the required return is 11 percent, what is this project's equivalent annual cost, or EAC?
Case study of zero company : On January 1, 2010, Zero Company obtained a $52,000, four-year, 6.5% installment note from Regional Bank. The note requires annual payments of $15,179, beginning on December 31, 2010. The December 31, 2011 carrying amount in the amortization table..
Determien the time displacement in a periodic function : Show that the time displacement in a periodic function has no effect on the magnitude spectrum, but changes the phase spectrum by an amount of -nω0τ radians for the component of the frequency nω0 if the time displacement is τ.
Describe the relationship between bus riders and gasoline : In Pioneer ville the price elasticity of demand fro bus ridersis .5, the income elasticity of demand fro bus riders is -0.1. Describe the relationship between bus riders and gasoline.
How could they use that information to their advantage : If a person with malicious intent were to get into your network and have read/write access to your IDS log or rule set how could they use that information to their advantage?

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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