Present value of total benefits for the project

Assignment Help Macroeconomics
Reference no: EM131153778

If an analyst predicts that the benefits of a two-year project would be $100,000 in the middle of the first year and $110,000 in the middle of the second year, the scrap value at the end of the project's life is expected to be $20,000 upon resale, and the discount rate is 5%, how much is the present value of total benefits for the project?

  • $217,968
  • $213,152
  • $230,000
  • $219,827

Reference no: EM131153778

Questions Cloud

Decrease the gross domestic product measured : How can an increase in taxation decrease the gross domestic product measured?
Considering using a piece of park land : A county is considering using a piece of park land for one of two alternative recreation projects. Project A would require construction costs of $2 million (year 0) and generate net benefits of $1 million per year for 10 years.
Considering using a piece of park land : A county is considering using a piece of park land for one of two alternative recreation projects. Project A would require construction costs of $2 million (year 0) and generate net benefits of $1 million per year for 10 years.
Present value of net benefits for the project : An analyst predicts that the present value of benefits of a two-year project would be $220,000 and the present value of the scrap value at the end of the project's life is expected to be $18,000. Given a 5% discount rate, he also expects the prese..
Present value of total benefits for the project : If an analyst predicts that the benefits of a two-year project would be $100,000 in the middle of the first year and $110,000 in the middle of the second year, the scrap value at the end of the project's life is expected to be $20,000 upon resale,..
Explain rawls theory of justice : Explain Rawls's theory of justice and all its parts--including the purpose of the Original Position and the reasoning the leads to the two principles of justice. Be sure to state the two principles of justice.
Key differences between the two articles : summarize the key differences between the two articles and the perspectives they provide. Then take a stand. If you were required to lower inventory costs while still maintaining customer satisfaction, what would you do?
Think about common shopping behavior : Think about common shopping behavior and the differences between personal preferences. Some people shop daily for the items they need daily. This is, in fact, the common model still today in most of Europe and Asia.
Building blocks of market competitive pay system : Discuss the basic building blocks of a market competitive pay system, including the relationship between internal and external equity.

Reviews

Write a Review

Macroeconomics Questions & Answers

  Aggregate expenditure function shift with diagram

Explain how the aggregate expenditure function shifts in response to the changes in each of the following variables:

  1 in the case study vandivier found his professional code

1. in the case study vandivier found his professional code of conduct moral standards and legal standards came into

  Marginal propensity to consume

Assume the marginal propensity to consume (MPC) was only 0.5. How much of that $900 billion went to increased consumption? Where did the rest of the money go?

  What is the dwl to society of having this market monopolized

Suppose that American Tree, one domestic producer, convinces Congress that because its production methods are the safest in the industry, it should be allowed to be the only supplier of artificial trees to American consumers.

  Determine the real rate of return for each bond

Determine the real (inflation-free) rate of return for each bond. Without knowing your MARR, can you make a choice between these two bonds?

  What is the record of success of gmos in terms of drought

Genetically Modified Organisms have been hailed as the possible solution to famine. Are there any risks with GMOs If so, what are they What is the record of success of GMOs in terms of drought resistance, pest resistance, increased yields

  Calculate the rate of growth of real gdp

Show nominal GDP, the GDP price index for the data above for any 10 years; make sure that one of the years is the base year. Put both real and nominal GDP I the same graph.

  Colin faiths that the number of job offers he get depends

Colin faiths that the number of job offers he will get depends on the number of courses. He concludes from observation that the following figures are typical.

  Illustrate what has happened to oil prices over past five yr

In your own words, discuss the economic purpose of OPEC. Illustrate what has happened to oil prices over the past five years.

  Time-distance-velocity problem

Solve the following time-distance-velocity problem. Two railroad stations are 830 km apart. The first train leaves Station A at a speed of 80 km/h, bound for Station B. At the same time another train leaves Station A at a speed of 46 km/h, bound..

  In many sub-saharan african countries girls have lower

in many sub-saharan african countries girls have lower enrollment rates in secondary schools than do boys. if

  Is the supply affected for some reason

How will the equilibrium price and quantity in the market for WHEAT be affected when farmers growing soybeans experience a decrease in the price of soybeans. The big thing that confuses me is if wheat and soybeans are substitute or complimentary pr..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd