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please can you do it on paper i need fast answer please 8:59 Assignmen... G Question 1 Satyam Project This company is planning to invest
please can you do it on paper i need fast answer please
8:59 Assignmen... G Question 1 Satyam Project This company is planning to invest in a project called satyam. The management accounting department received the following information Capex $17000 Project period Syears Revenue $8000 Supplies expense 500 Salary 2500 Utilities 500 Discount Rate 8% Sale of asset end of project $4000 Net working Capital $4500 The company's tax rate is 27%. The project also earned $1200 as Interest revenue. The capital expenditure is depreciated using straight line method over the project and will have a residual value of 56000 the company will have to a rent for $700 during the project life REQUIRED al Calculate the initial investment b) Calculate each year cash flow c) Calculate the terminal value of the asset used d) Calculate the NPV e Calculate the Profitability index [PI Solution Question 2 An entrepreneur has to decide whether to invest in a project or not. He is provided with the following information The cost of the capital expenditure involved is 540000 He will have to spend S7500 on networking capital that will be returned to him at the end of the project . He will depreciate his capital expenditure using straight line method over un projecte Step by Step Solution
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