A project has the following cash flows a. What is the project's payback period? b. Calculate the
Question:
a. What is the project's payback period?
b. Calculate the projects NPV at 12%.
c. Calculate the project's PI at 12%.
Transcribed Image Text:
イ) (S700) $200 $500 $244
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (12 reviews)
a The cumulative cash flow is Year 0 1 2 3 Cash Flow 700 200 5...View the full answer
Answered By
Asim farooq
I have done MS finance and expertise in the field of Accounting, finance, cost accounting, security analysis and portfolio management and management, MS office is at my fingertips, I want my client to take advantage of my practical knowledge. I have been mentoring my client on a freelancer website from last two years, Currently I am working in Telecom company as a financial analyst and before that working as an accountant with Pepsi for one year. I also join a nonprofit organization as a finance assistant to my job duties are making payment to client after tax calculation, I have started my professional career from teaching I was teaching to a master's level student for two years in the evening.
My Expert Service
Financial accounting, Financial management, Cost accounting, Human resource management, Business communication and report writing. Financial accounting : • Journal entries • Financial statements including balance sheet, Profit & Loss account, Cash flow statement • Adjustment entries • Ratio analysis • Accounting concepts • Single entry accounting • Double entry accounting • Bills of exchange • Bank reconciliation statements Cost accounting : • Budgeting • Job order costing • Process costing • Cost of goods sold Financial management : • Capital budgeting • Net Present Value (NPV) • Internal Rate of Return (IRR) • Payback period • Discounted cash flows • Financial analysis • Capital assets pricing model • Simple interest, Compound interest & annuities
4.40+
65+ Reviews
86+ Question Solved
Related Book For
Question Posted:
Students also viewed these Finance questions
-
A project has the following cash flows: This project requires two outflows at Years 0 and 2, but the remaining cash flows are positive. Its WACC is 10%, and its MIRR is 14.14%. What is the Year 2...
-
A project has the following cash flows: Period 0 Negative $75,000 Period 1 Positive $50,000 Period 2 Positive $25,000 Period 3 Positive $30,000 The firm has to pay 9% on its capital funds. What is...
-
A project has the following cash flows: Period 0 Negative $100,000 Period 1 Positive $75,000 Period 2 Positive $50,000 Period 3 Positive $75,000 The firm has to pay 8% on its capital funds. What is...
-
The SEC Form 10-K of Google is reproduced online at www.wiley.com/college/pratt. REQUIRED: Review the Google 2012 SEC Form 10-K, and answer the following questions: a. Compute Googles long-term debt...
-
Describe how you can increase the maximum operating voltage of a parallel-plate capacitor for a fixed plate separation.
-
List of Accounts Accounts Payable Accounts Receivable Accumulated Depreciation - Building Accumulated Depreciation - Equipment Accumulated Depreciation - Furniture Advertising Expense Building Cash...
-
______ helps to locate errors and fraud in accounts at an early date.
-
An analyst is trying to determine whether the prices of certain stocks on the NASDAQ are independent of the industry to which they belong. She examines four industries and classifies the stock prices...
-
Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 8,000 pounds of oysters in August. The company's flexible budget for August appears below: 8,000 $...
-
A gear reduction unit uses the countershaft shown in the figure. Gear A receives power from another gear with the transmitted force FA applied at the 20_ pressure angle as shown. The power is...
-
Provide the missing information for the following projects using the present value of an annuity function [time value of money (TVM) keys rather than the cash flow (CF) function keys]. Initial Outlay...
-
The Griffin Company is launching a maritime project by purchasing a small, previously owned cargo ship for $2M which will be used to ferry iron ore across the Great Lakes The ship will be depreciated...
-
Saucier Company has accounts receivable, notes receivable due in three months, notes receivable due in two years, an allowance for doubtful accounts, sales taxes recoverable, and income tax...
-
Are investors too impatient in wanting returns from these investments? "Would Nordstrom be better off if it were owned by private investors, rather than as a publicly traded firm since this would...
-
how AI is used to discover new material, will it change the whole science environment?
-
QUESTION 1 Which one of the following statements is not part of the "bundle of rights" enjoyed by a fee simple owner of property? a. The right to possess the property b. The right to control what...
-
In order to pay his rent, Tom, a college student, has taken a job in the computer department of a local department store. His only responsibility is to answer telephone calls to the department, most...
-
How does database normalization impact data integrity and query performance in complex relational schemas ? Explain
-
1. What characteristics would you expect to have in a robot that provides emotional support to patients? 2. Can you think of other applications where robots such as the Huggable can play a helpful...
-
Subtract the polynomials. (-x+x-5) - (x-x + 5)
-
What is the reasoning behind using the current ratio as a measure of liquidity?
-
A companys terms are net 30 and the ACP is 35 days. Is that cause for alarm? Why or why not?
-
Discuss the different definitions of debt in ratio analysis.
-
This question is from case # 24 of book Gapenski's Cases in Healthcare Finance, Sixth Edition Select five financial and five operating Key Performance Indicators (KPIs) to be presented at future...
-
assume that we have only two following risk assets (stock 1&2) in the market. stock 1 - E(r) = 20%, std 20% stock 2- E(r) = 10%, std 20% the correlation coefficient between stock 1 and 2 is 0. and...
-
Flexible manufacturing places new demands on the management accounting information system and how performance is evaluated. In response, a company should a. institute practices that reduce switching...
Study smarter with the SolutionInn App