Correct option is: $240 | ||||
Workings: | ||||
Year | Value Flows | Present Factor @8% | Present Value | |
Initial Cost | 0 | $ -4,80,000 | 1 | $ -4,80,000 |
Cash Inflows | 1 - 4 | $ 1,45,000 | 3.312 | $ 4,80,240 |
Net Present Value | $ 240 |
Puello Corporation has provided the following data concerning an investment project that it is considering: Initial...
Moates Corporation has provided the following data concerning an investment project that it is considering: Initial investment Annual cash flow Expected life of the project Discount rate $410,000 $117,000 per year 4 years 9% Click here to view Exhibit 7B-1 and Exhibit 7B-2, to determine the appropriate discount factor(s) using the tables provided. The net present value of the project is closest to: Multiple Choice O $378,963 $378,963 $(31,037) $410,000 $58,000
Moates Corporation has provided the following data concerning an investment project that it is considering: Initial investment Annual cash flow Expected life of the project Discount rate $280,000 $128,000 per year 4 years 9% Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using the tables provided. The net present value of the project is closest to: Multiple Choice $134,592 O $280,000 $(152,000) 0 $(134,592)
Moates Corporation has provided the following data concerning an investment project that it is considering: Initial investment $ 250,000 Annual cash flow $ 119,000 per year Expected life of the project 4 years Discount rate 8 % Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using the tables provided. The net present value of the project is closest to: (Round your intermediate calculations and final answer to the nearest whole dollar amount.) Multiple...
Moates Corporation has provided the following data concerning an investment project that it is considering: Initial investment $ 200,000 Annual cash flow $ 123,000 per year Expected life of the project 4 years Discount rate 10 % Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using the tables provided. The net present value of the project is closest to: (Round your intermediate calculations and final answer to the nearest whole dollar amount.)
Fimbrez Corporation has provided the following data concerning an investment project that it is considering: Initial investment $210,000 Annual cash flow $126,000 per year Expected life of the project 4 years Discount rate 9% Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using table. The net present value of the project is closest to: (Round discount factor(s) to 3 decimal places, intermediate and final answers to the nearest dollar amount.)
M Corporation has provided the following data concerning an investment project that it is considering: Initial investment $ 270,000 Annual cash flow $ 125,000 per year Expected life of the project 4 years Discount rate 10 % The net present value of the project is closest to: $126,125 A $(126,125) B $(145,000) C $270,000 D
The following data pertain to an investment project (Ignore income taxes.): Investment required Annual savings Life of the project $34,055 $ 5,000 15 years Click here to view Exhibit 7B-1 and Exhibit 7B-2, to determine the appropriate discount factor(s) using the tables provided. The internal rate of return is closest to: Multiple Choice
Fimbrez Corporation has provided the following data concerning an investment project that it is considering: initial investment.............. $360,000 Annual cash flow............. $118,000 per year Expected life of project..... 4 years Discount rate................... 12% The net present value of the project is closest to: $358,484 $360,000 $(1,516) $112,000
Lambert Manufacturing has $120,000 to invest in either Project A or Project B. The following data are available on these projects (Ignore income taxes.): Cost of equipment needed now Working capital investment needed now Annual net operating cash inflows Salvage value of equipment in 6 years Project A Project B $120,000 $70,000 $50,000 $ 50,000 $45,000 $ 15,000 Click here to view Exhibit 7B-1 and Exhibit 7B-2, to determine the appropriate discount factor(s) using the tables provided. Both projects have...
Fimbrez Corporation has provided the following data concerning an investment project that it is considering: Initial investment $240,000 Annual cash flow $133,000 per year Expected life of the project 4 years Discount rate 13% Use Excel or financial calculator to solve. The net present value of the project is closest to: (Round final answers to the nearest dollar amount.) rev: 05_13_2016_QC_CS-51636 $(107,000) $155,542 $240,000 $(155,542)