FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Opie inc is considerig an 8 year project that has an initial after tax outlay or after tax cost of $180000. the future after tax

Opie inc is considerig an 8 year project that has an initial after tax outlay or after tax cost of $180000. the future after tax cash inflows from its project for years 1 through 8 are the same at $38000. Opie uses the net present value method andd has a discount rate of 11.50%. Will Opie accept the project? What is the NPV?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Management For Decision Making

Financial Management For Decision Making

Authors: Harold Jr. Bierman, Seymour Smidt

1st Edition

1587982129, 9781587982125

More Books

Students also viewed these Finance questions

Question

★★★★★
(a)What are the signs of ÎS and ÎH for the process depicted here? (b) How might temperature affect the sign of ÎG? (c) If energy can flow in and out of the system to maintain a...

Answered: 1 week ago

Question

★★★★★
Calculating Synergy Evan, Inc., has offered $740 million cash for all of the common stock in Tanner Corporation. Based on recent market information, Tanner is worth $650 million as an independent...

Answered: 1 week ago

Question

★★★★★
Is the faculty member a member of a professional organization? If so, which one(s)?

Answered: 1 week ago

Question

★★★★★
On January 13, 2010, Silverio Oil Company purchased a drilling truck for $45,000. Silverio expects the truck to last five years or 200,000 miles with an estimated residual value of $7,500 at the end...

Answered: 1 week ago

Question

★★★★★
Exercis Recordin Stock Retireme Stock at $14 per share. M4 Inc. issued 50,000 shares of 0.01 par value common stock for $is per share on January 1, 2020, the day of its initial stock offering....

Answered: 1 week ago

Question

★★★★★
Problem 4 : [ 1 5 minutes, 1 0 marks ] The following are the financial statements of Peterson Corporation for its year ended December 3 1 , 2 0 1 5 and 2 0 1 4 . All of Peterson's revenue is earned...

Answered: 1 week ago

Question

★★★★★
Using the information in the following table, calculate the marginal revenue product (MRP = MPP MR). Unit of Resources Total Resource Output Price Price 1 10 $5 $10 2 25 $5 $10 345 35 $5 $10 40 $5...

Answered: 1 week ago

Question

★★★★★
Which country has the absolute advantage in computer production? Use the following table: Amount of Beef or Computers Produced by One Worker in a Day Canada Beef Computers Japan 8 5 3 4

Answered: 1 week ago

Question

★★★★★
Which country has the comparative advantage in computer production? Use the following table: Amount of Beef or Computers Produced by One Worker in a Day Canada Beef Computers Japan 8 5 3 4

Answered: 1 week ago

Question

★★★★★
A metal sphere is grounded and an electrically charged rod is held close to it. The sphere acquires a charge \(q\). The grounding wire is removed, and the sphere is brought in contact with another...

Answered: 1 week ago

Question

★★★★★
Consider the nonlinear regression model \(y=\exp \left(\mathbf{x}^{\prime} \boldsymbol{\beta} ight) /\left[1+\exp \left(\mathbf{x}^{\prime} \boldsymbol{\beta} ight) ight]+u\), where the error term is...

Answered: 1 week ago

Question

★★★★★
Aware of the role of HRM in multinational corporations.

Answered: 1 week ago

Question

★★★★★
What are the main changes regarding Bamcos production structure, and how are they related to training programs?

Answered: 1 week ago

Question

★★★★★
In what ways has the structure of Israeli labor relations affected the traditional reward system in Bamco?

Answered: 1 week ago

Previous Question Next Question