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percent and it evaluates all projects on a cash-flow basis. a. Calculate the payback period for the

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percent and it evaluates all projects on a cash-flow basis.

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a. Calculate the payback period for the aircraft. If the airline requires all projects to be paid back in three years, would the project be accepted?

b. C. Calculate the discounted payback period for the aircraft. If the airline requires all projects to be paid back in three years, would the project be accepted? Calculate the NPV of the aircraft. If all NPV-positive projects are accepted, would the aircraft be purchased?

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Year 1 Year 2 Year 3 Year 4 Year 5 (Sm) (Sm) ($m) (Sm) ($m) 12 21 32743 29533 2750 35 41 12 11 9 3 3 49553 38 25963 15 3 Total revenue Aircraft fuel Salaries Aircraft maintenance 2 Depreciation expense 3

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Ali Khawaja
my expertise are as follows: financial accounting : - journal entries - financial statements including balance sheet, profit & loss account, cash flow statement & statement of changes in equity -consolidated statement of financial position. -ratio analysis -depreciation methods -accounting concepts -understanding and application of all international financial reporting standards (ifrs) -international accounting standards (ias) -etc business analysis : -business strategy -strategic choices -business processes -e-business -e-marketing -project management -finance -hrm financial management : -project appraisal -capital budgeting -net present value (npv) -internal rate of return (irr) -net present value(npv) -payback period -strategic position -strategic choices -information technology -project management -finance -human resource management auditing: -internal audit -external audit -substantive procedures -analytic procedures -designing and assessment of internal controls -developing the flow charts & data flow diagrams -audit reports -engagement letter -materiality economics: -micro -macro -game theory -econometric -mathematical application in economics -empirical macroeconomics -international trade -international political economy -monetary theory and policy -public economics ,business law, and all regarding commerce
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