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7. Investment A requires a net investment of S$1,800,000. The required rate of return is 20% for the ten-year annuity, what are the annual cash

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7. Investment A requires a net investment of S$1,800,000. The required rate of return is 20% for the ten-year annuity, what are the annual cash inflows if the net present value (NPV) equal zero? (Rounded) a. $429,389. b. $446,539. c. $400,534. d. $415,993. 8. The net initial investment for a piece of construction equipment is $500,000. Annual cash inflows are expected to increase by $125,000 per year. The equipment has an 8-year life. What is the payback period? a. 8.00 Years. b. 4.00 Years. c. 6.00 Years. d. 5.00 Years. 9. Which of the following factors is generally not important when calculating a project's net present value? a. impact of the project on the income taxes paid. b. method of financing the project under consideration c. timing of the cash flows relating to the project. d. amount of cash flows relating to the project. 10. The Wild West Corporation disposes of a capital asset with an original cost of $185,000 and accumulated depreciation of $155,000 for $50,000. The company's tax rate is 35%. What is the after-tax cash inflows or (outflows) from the disposal of the capital asset. a. $50,000. b. $30,000. c. $27,200. d. $43,000

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