Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The most influential parameter on the project's NPW in the -15% to +15% range is options: MARR' AOC AOR N - - The second most

image text in transcribed

The most influential parameter on the project's NPW in the -15% to +15% range is

options:

MARR'

AOC

AOR

N

-

-

The second most influential parameter on the project's NPW in the range -15% to +15% range is

options:

AOR

P

N

AOC

-

-

If you plotted a spider diagram instead of completing a sensitivity Table for any project, the second most influential project parameter would have

options:

the curve with the third steepest positive or negative slope

. the third steepest positively sloped curve.

the third steepest negatively sloped curve.

it is impossible to determine project sensitivity to its parameters from the spider diagram.

-

-

breakeven (NPW=$0) dollar value of the initial cost parameter (P) is between

options:

1,000,000 and 1,000,500

999,000 and 999,500

1,100,000 and 1,100,500

995,000 and 995,500

pLEASE GIVE ME THE ANSWERS, NOT THE EQUATION.

1. Initial Cost (P) = $960,000 2. Salvage value (SV) = $12,133 3. Annual operating revenues (AOR) = $600,000 4. Annual operating costs (AOC) = $325,000 5. Economic life (N) = 5 years 6. MARR = 10% 7. Inflation Rate = 0%. One-way Sensitivity Table Net Present Worth (NPW) Parameters -15% -10% -5% +5% +10% +15% Reference Scenario BB P AA CC AOR DD EE AOC FF GG HH SV II JJ KK N LL MM MARR NN oo PP

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

Step: 3

blur-text-image

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

Accounting And Finance

Authors: Michael J. Jones

1st Edition

1118932072, 9781118932070

More Books

Students also viewed these Accounting questions

Question

How can ABM be used to help eliminate non-value-added activities?

Answered: 1 week ago

Question

According to the text, what makes a person successful?

Answered: 1 week ago

Question

=+4. What do you think?

Answered: 1 week ago