Homework Answers
Annual cash flow = 9170+9900 = 19070 per year
Payback period = Initial investment/Annual Cash flow
= 59400/19070
Payback period = 3.11 Years
Add Answer to:
A company is planning to purchase a machine that will cost $59,400 with a six-year life...
A company is planning to purchase a machine that will cost $32,400, have a six-year life,...
A company is planning to purchase a machine that will cost $32,400, have a six-year life, and be depreciated over a three-year period with no salvage value. The company expects to sell the machine's output of 3,000 units evenly throughout each year. A projected income statement for each year of the asset's life appears below. What is the payback period for this machine? $132.000 Sales Cost: Manufacturing Depreciation on machine Selling and administrative expenses $53,400 5,400 44,000 (102,800) Income before...
factory Company is planning to add a new product to its line. $483,000 cost $23,000 salvage...
factory Company is planning to add a new product to its line.
$483,000 cost $23,000 salvage
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine ta $183,000 cost with an expected four year life and a $23,000 salvage value. All sales are for cash, and all costs are out-of-pocket except for depreciation on the new machine. Additional information includes the following (PV of $1. FV...
The Ayayai Company is planning to purchase $524,500 of equipment with an estimated seven-year life and...
The Ayayai Company is planning to purchase $524,500 of equipment with an estimated seven-year life and no estimated salvage value. The company has projected the following annual cash flows for the investment. Year Projected Cash Flows $201,000 151,000 101,000 78,000 78,000 41,000 41,000 Total $691,000 (a) Calculate the payback period for the proposed equipment purchase. Assume that all cash flows occur evenly throughout the year. 101,000 78,000 78,000 41,000 41,000 Total $691,000 (a) Calculate the payback period for the proposed...
Factor Company is planning to add a new product to its line. To manufacture this product,...
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $500,000 cost with an expected four-year life and a $22,000 salvage value. All sales are for cash, and all costs are out-of-pocket. except for depreciation on the new machine. Additional information includes the following (PV of $1. FV of $1. PVA of $1, and EVA of $1 (Use appropriate factor(s) from the tables provided....
Factor Company is planning to add a new product to its line. To manufacture this product,...
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $660,000 cost with an expected four-year life and a $38,000 salvage value, All sales are for cash, and all costs are out-of-pocket, except for depreciation on the new machine. Additional information includes the following. (PV of $1, EV of $1, PVA of $1, and FVA of $1) (Use approprlate factor(s) from the tables provided....
Factor Company is planning to add a new product to its line. To manufacture this product,...
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $640,000 cost with an expected four-year life and a $36,000 salvage value. All sales are for cash, and all costs are out-of-pocket. except for depreciation on the new machine. Additional information includes the following. (PV of $1. FV of $1. PVA of S1, and FVA of $1) (Use appropriate factor(s) from the tables provided....
Factor Company is planning to add a new product to its line. To manufacture this product,...
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $500,000 cost with an expected four-year life and a $22,000 salvage value. All sales are for cash, and all costs are out-of-pocket, except for depreciation on the new machine. Additional information includes the following. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided....
Factor Company is planning to add a new product to its line. To manufacture this product,...
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $640,000 cost with an expected four-year life and a $36,000 salvage value. All sales are for cash, and all costs are out-of-pocket, except for depreciation on the new machine. Additional information includes the following. (PV of $1. EV of $1. PVA of $1, and EVA of $1) (Use appropriate factor(s) from the tables provided....
actor Company is planning to add a new product to its line. To manufacture this product, the company needs to b...
actor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine $880,000 cost with an expected four-year life and a $60,000 salvage value. All sales are for cash, and all costs are out-of-pocket, xcept for depreciation on the new machine Additional information includes the following. (PV of $1.FV of $1. PVA of S1. and FVA of 1) (Use appropriate factor(s) from the tables provided. Round PV factor...
Factor Company is planning to add a new product to its line. To manufacture this product, the com...
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $880,000 cost with an expected four-year life and a $60,000 salvage value. All sales are for cash, and all costs are out-of-pocket, except for depreciation on the new machine. Additional information includes the following. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided....
A company is planning to purchase a machine that will cost $32,400, have a six-year life, and be depreciated over a three-year period with no salvage value. The company expects to sell the machine's output of 3,000 units evenly throughout each year. A projected income statement for each year of the asset's life appears below. What is the payback period for this machine? $132.000 Sales Cost: Manufacturing Depreciation on machine Selling and administrative expenses $53,400 5,400 44,000 (102,800) Income before...
factory Company is planning to add a new product to its line.
$483,000 cost $23,000 salvage
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine ta $183,000 cost with an expected four year life and a $23,000 salvage value. All sales are for cash, and all costs are out-of-pocket except for depreciation on the new machine. Additional information includes the following (PV of $1. FV...
The Ayayai Company is planning to purchase $524,500 of equipment with an estimated seven-year life and no estimated salvage value. The company has projected the following annual cash flows for the investment. Year Projected Cash Flows $201,000 151,000 101,000 78,000 78,000 41,000 41,000 Total $691,000 (a) Calculate the payback period for the proposed equipment purchase. Assume that all cash flows occur evenly throughout the year. 101,000 78,000 78,000 41,000 41,000 Total $691,000 (a) Calculate the payback period for the proposed...
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $500,000 cost with an expected four-year life and a $22,000 salvage value. All sales are for cash, and all costs are out-of-pocket. except for depreciation on the new machine. Additional information includes the following (PV of $1. FV of $1. PVA of $1, and EVA of $1 (Use appropriate factor(s) from the tables provided....
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $660,000 cost with an expected four-year life and a $38,000 salvage value, All sales are for cash, and all costs are out-of-pocket, except for depreciation on the new machine. Additional information includes the following. (PV of $1, EV of $1, PVA of $1, and FVA of $1) (Use approprlate factor(s) from the tables provided....
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $640,000 cost with an expected four-year life and a $36,000 salvage value. All sales are for cash, and all costs are out-of-pocket. except for depreciation on the new machine. Additional information includes the following. (PV of $1. FV of $1. PVA of S1, and FVA of $1) (Use appropriate factor(s) from the tables provided....
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $500,000 cost with an expected four-year life and a $22,000 salvage value. All sales are for cash, and all costs are out-of-pocket, except for depreciation on the new machine. Additional information includes the following. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided....
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $640,000 cost with an expected four-year life and a $36,000 salvage value. All sales are for cash, and all costs are out-of-pocket, except for depreciation on the new machine. Additional information includes the following. (PV of $1. EV of $1. PVA of $1, and EVA of $1) (Use appropriate factor(s) from the tables provided....
actor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine $880,000 cost with an expected four-year life and a $60,000 salvage value. All sales are for cash, and all costs are out-of-pocket, xcept for depreciation on the new machine Additional information includes the following. (PV of $1.FV of $1. PVA of S1. and FVA of 1) (Use appropriate factor(s) from the tables provided. Round PV factor...
Factor Company is planning to add a new product to its line. To manufacture this product, the company needs to buy a new machine at a $880,000 cost with an expected four-year life and a $60,000 salvage value. All sales are for cash, and all costs are out-of-pocket, except for depreciation on the new machine. Additional information includes the following. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided....
Most questions answered within 3 hours.
-
A shot-putter throws the shot with a horizontal velocity of 10
m/s and a
vertical velocity...
asked 3 minutes ago -
Mildred sells industrial-sized refrigeration units. Her
prospective buyer's face looks tense, and his forehead is wrinkled....
asked 5 minutes ago -
Clark Heter is an industrial engineer at Lyons Products. He
would like to determine whether there...
asked 1 hour ago -
3. Use a text editor to create a comma-delimited file of user
IDs and passwords. Revise...
asked 47 minutes ago -
Jensen and Associates has a projected balance
sheet that includes the following accounts. What is the...
asked 20 minutes ago -
implement a doubly-linked list in C. Each node in the linked list should contain a string,...
asked 43 minutes ago -
What are some best practices and things to avoid when developing
a PowerPoint presentation or file
asked 46 minutes ago -
Consider the ways that the government can get involved in
economic issues. What role do you...
asked 21 minutes ago -
Sodium carbonate is added to the tea mixture, in part, to form
the sodium salt of...
asked 44 minutes ago -
he plant started to purify its wastewater before discharging it
into the lake. How long will...
asked 1 hour ago -
Thiazyl fluoride, F3NS is a colourless gas. Using concepts of
electronegativity, formal charge etc. determine the...
asked 1 hour ago -
1. Why is an explicit inflation target a bad policy?
2. MV=PQ If M grows, then...
asked 38 minutes ago