MIRR unequal lives. Singing Fish Fine Foods has $1,960,000 for capital investments this year and is considering two potential projects for the funds. Project 1 is updating the store's deli section for additional food service. The estimated after-tax cash flow of this project is $580,000 per year for the next five years. Project 2 is updating the store's wine section. The estimated annual after-tax cash flow for this project is $530,000 for the next six years. The appropriate discount rate for the deli expansion is 9.6% and the appropriate discount rate for the wine section is 9.0%. What are the MIRRs for the Singing Fish Fine Foods projects? What are the MIRRS when you adjust for unequal lives? Do the MIRR adjusted for unequal lives change the decision based on MIRRS? Hint: Take all cash flows to the same ending period as the longest project. If the appropriate reinvestment rate for the deli expansion is 9.6%, what is the MIRR of the deli expansion? % (Round to two decimal places.) use the pl to determine which projects the Profitability index. Given the discount rate and the future cash flow of each project listed in the following table, company should accept. What is the Pl of project A? 17.11 (Round to two decimal places.) x Data table (Click on the following icon in order to copy its contents into a spreadsheet.) Cash Flow Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Discount rate Project A - $1,800,000 $100,000 $300,000 $500,000 $700,000 $900,000 4% Project B -$2,500,000 $1,250,000 $1,050,000 $850,000 $650,000 $450,000 18% Print Done Operating cash flow. Grady Precision Measurement Tools has forecasted the following sales and costs for a new GPS system: annual sales of 40,000 units at $24 a unit, production costs at 34% of sales price, annual fixed costs for production at $160,000, and straight-line depreciation expense of $215,000 per year. The company tax rate is 30%. What is the annual operating cash flow of the new GPS system? .... What is the annual operating cash flow of the new GPS system? $ (Round to the nearest dollar.) Singing Fish Fine Foods has a current annual cash dividend policy of $3.75. The price of the stock is set to yield a return of 12%. What is the price of this stock if the dividend will be paid a. for 10 years? b. for 17 years? c. for 40 years? d. for 50 years? e. for 100 years? f. forever? a. What is the price of this stock if the dividend will be paid for 10 years? (Round to the nearest cent.)
