Problem regarding the investment net present value

Assignment Help Accounting Basics
Reference no: EM131016642

Water Wings Sports is considering an investment that costs $300,000 and is expected to generate cash flows of $90,000 per year during its 5-year life. If WWSAc€?cs required rate of return is 15%, what is this investment's net present value?

A. $150,000

B. $1,694

C. $76,270

D. $301,694

E. $450,847

Reference no: EM131016642

Questions Cloud

What dimensionless parameters would you use to organize data : The drag, d, on a washer-shaped plate placed normal to a stream of fluid can be expressed as D = f(d1, d2, V, μ, ρ) where d1 is the outer diameter, d2 the inner diameter, V the fluid velocity, µ the fluid viscosity, and ρ the fluid density. Some ..
What is the price of the bill : The bill you are considering has 99 days to maturity and the bid and ask quotes are 1.74 and 1.76. What is the price of the Bill?
Synthesize any recent changes in the market : Synthesize any recent changes in the market, including shifts in market share, players in the market, competition and leadership
Price per share of the company stock : After Year 5, the adjusted cash flow from assets is expected to grow at 3 percent indefinitely. The company's WACC is 8.9 percent and the tax rate is 40 percent. What is the price per share of the company's stock?
Problem regarding the investment net present value : Water Wings Sports is considering an investment that costs $300,000 and is expected to generate cash flows of $90,000 per year during its 5-year life. If WWSAc€?cs required rate of return is 15%, what is this investment's net present value?
Determine the final angular velocities of bar bc and disk a : The system rotates freely about the vertical spindle BE. After a period of slippage, disk D rolls without slipping. Knowing that the magnitude of the final angular velocity of disk D is 176 rpm, determine the final angular velocities of bar BC and..
Compute the departmental overhead rates using machine : Compute the departmental overhead rates using machine hours as the cost driver.
Determine branding strategies used for marketing purposes : Olive Crest non profit increase greater awareness in Las Vegas Community - Determine branding strategies used for marketing purposes
Operations of an insurance company : This week we discuss the operations of an insurance company. As stated before, the primary technique for risk management is transferring the risk, usually to an insurance company. Every risk manager should have a strong understanding of how an ins..

Reviews

Write a Review

 

Accounting Basics Questions & Answers

  Currently for the estimated cost

In its 2004 annual report, Apple Computer reported the following in one of its disclosure notes: "Warranty Expense: The Company provides currently for the estimated cost for product warranties at the time the related revenue is recognized."

  Kody corporation uses a job-order costing system

Kody Corporation uses a job-order costing system with a plantwide overhead rate based on machine-hours

  The budget was based on an expected sales volume of 5000

nbspstatic budget income statementsales

  Weymouth company made a 260000 investment in new machinery

weymouth company made a 260000 investment in new machinery. assuming the companys margin is 5 what income will be

  Calculate the price ithaca would have paid

Calculate the price Ithaca would have paid for the Cortland bonds on January 1, 2011 (ignoring brokerage fees), and prepare a journal entry to record the purchase.

  The premium from a capitation agreement whereby a hospital

for each of the following items indicate where it would appear in the statement of operations for a private

  Stacks of inventory

As Jonah wades through huge piles of the inventory and questions the team on operations, he quickly identifies the problem. Which of the implemented methods above does Jonah contribute to stacks of inventory?

  In early january 2009 sanchez builders purchase equipment

in early january 2009 sanchez builders purchase equipment for 102000 to use in operating activities for the next five

  On may 26 2012 the xx corp acquired a piece of land by

on may 26 2012 the xx corp. acquired a piece of land by issuing 60000 shares of its 9 par value common stock. the list

  Great falls brewerys regular selling price for a case of

great falls brewerys regular selling price for a case of beer is 15. variable costs are 8 per case and fixed costs

  Grunewalds management is considering implementing a bonus

grunewal company manufactures a professional grade vacuums cleaner and began operations in 2011. for 2011 grunewald

  Result of receiving the group-term life benefit

Assuming that Gray is 52 years old, determine the monthly premium that Gray must include in income as a result of receiving the group-term life benefit?

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