Question

(d) Which project Hd H UU UT 7.12 Consider an investment project with the following net cash flows: Year Net Cash Flow -$1.50
0 0
Add a comment Improve this question Transcribed image text
Answer #1

As per given condition

X *(P/F,10%,1) + 650 * (P/F,10%,2) + X *(P/F,10%,3) = 1500

X *0.909091 + 650 *0.826446 + X *0.751315 = 1500

X * 1.660406 = 1500 - 650 *0.826446

X = (1500 - 650 *0.826446) / 1.660406 = 579.86 ~ 580 (Nearest Dollar)

Add a comment
Know the answer?
Add Answer to:
(d) Which project Hd H UU UT 7.12 Consider an investment project with the following net...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • -Return Analysis Consider the investment project with the net cash flows as shown in the follow-...

    -Return Analysis Consider the investment project with the net cash flows as shown in the follow- ing table. What would be the value of X if the project's IRR is 23 %? 7s.4 End of Year (n) Net Cash Flow -$12,000 $2,500 $5,500 $X 4 (a) $4,500 (b) $4,750 (c) $6.890 (d) $6,500

  • 5 Consider the investment project with the following net cash flows: Year Net Cash Flow 0...

    5 Consider the investment project with the following net cash flows: Year Net Cash Flow 0 $1,500 SX $650 SX What would be the value of X if the project's IRR is known to be 10%? The annual income from a rented house is $24,000. The annual expenses are $6000. If the house can be sold for $245,000 at the end of 10 years, how much could you afford to pay for it now, if you considered 900 to be...

  • DO 5.75 PLEASE 5.71 Consider the following cash flow of a certain project: Net Cash Flow...

    DO 5.75 PLEASE 5.71 Consider the following cash flow of a certain project: Net Cash Flow n 0 -$2000 1 800 2 900 3 If the project's IRR is 10%, (a) Find the value of X. (b) Is this project acceptable at MARR = 8%? 5.75 Recent technology has made possible a computerized vending machine that . grind coffee beans and brew fresh coffee on demand. The computer also makes can possible such complicated functions as changing $5 and $10...

  • The net present value (NPV) and Internal rate of retur (IRR) methods of investment analysis are...

    The net present value (NPV) and Internal rate of retur (IRR) methods of investment analysis are interrelated and are sometimes used together to make capital budgeting decisions. Consider the case of Blue Hamster Manufacturing Inc.: Last Tuesday, Blue Hamster Manufacturing Inc. lost a portion of its planning and financial data when both its main and its backup servers crashed. The company's CFO remembers that the internal rate of return (IRR) of Project Zeta is 13.8%, but he can't recall how...

  • The net present value (NPV) and internal rate of return (IRR) methods of investment analysis are...

    The net present value (NPV) and internal rate of return (IRR) methods of investment analysis are interrelated and are sometimes used together to make capital budgeting decisions. Consider the case of Green Caterpillar Garden Supplies Inc.: Last Tuesday, Green Caterpillar Garden Supplies Inc. lost a portion of its planning and financial data when both its main and its backup servers crashed. The company's CFO remembers that the internal rate of return (IRR) of Project Delta is 13.2%, but he can't...

  • The net present value (NPV) and internal rate of return (IRR) methods of investment analysis are...

    The net present value (NPV) and internal rate of return (IRR) methods of investment analysis are interrelated and are sometimes used together to make capital budgeting decisions. Consider the case of Cold Goose Metal Works Inc.: Last Tuesday, Cold Goose Metal Works Inc. lost a portion of its planning and financial data when both its main and its backup servers crashed. The company's CFO remembers that the internal rate of return (IRR) of Project Lambda is 11.3%, but he can't...

  • The net present value (NPV) and internal rate of return (IRR) methods of investment analysis are...

    The net present value (NPV) and internal rate of return (IRR) methods of investment analysis are interrelated and are sometimes used together to make capital budgeting decisions. Consider the case of Cold Goose Metal Works Inc.: Last Tuesday, Cold Goose Metal Works Inc. lost a portion of its planning and financial data when both its main and its backup servers crashed. The company's CFO remembers that the internal rate of return (IRR) of Project Omicron is 11.3%, but he can't...

  • The net present value (NPV) and internal rate of return (IRR) methods of investment analysis are...

    The net present value (NPV) and internal rate of return (IRR) methods of investment analysis are interrelated and are sometimes used together to make capital budgeting decisions. Consider the case of Green Caterpillar Garden Supplies Inc.: Last Tuesday, Green Caterpillar Garden Supplies Inc. lost a portion of its planning and financial data when both its main and its backup servers crashed. The company's CFO remembers that the internal rate of return (IRR) of Project Zeta is 14.6%, but he can't...

  • The net present value (NPV) and Internal rate of return (IRR) methods of investment analysis are interrelated and...

    The net present value (NPV) and Internal rate of return (IRR) methods of investment analysis are interrelated and are sometimes used together to make capital budgeting decisions. Consider the case of Cold Goose Metal Works Inc.: Last Tuesday, Cold Goose Metal Works Inc. lost a portion of its planning and financial data when both its main and its backup servers crashed. The company's CFO remembers that the internal rate of return (IRR) of Project Zeta is 13.8%, but he can't...

  • The net present value (NPV) and internal rate of return (IRR) methods of investment analysis are...

    The net present value (NPV) and internal rate of return (IRR) methods of investment analysis are interrelated and are sometimes used together to make capital budgeting decisions. Consider the case of Cute Camel Woodcraft Company Last Tuesday, Cute Camel Woodcraft Company lost a portion of its planning and financial data when both its main and its backup servers crashed. The company's CFO remembers that the internal rate of return (IRR) of Project Gamma is 11.3%, but he can't recall how...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT