Proposed nuclear power plant

Assignment Help Finance Basics
Reference no: EM131412343

A proposed nuclear power plant will cost $2.9 billion to build and then will produce cash flows of $370 million a year for 15 years. After that period (in year 15), it must be decommissioned at a cost of $970 million.

What is project NPV if the discount rates are 4% and 16%? (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Enter your answers in billions rounded to 3 decimal places.)

Reference no: EM131412343

Questions Cloud

What is the minimum time needed for an exhaustive test : If the same integrated circuit is designed with a full scan path and if all the combinational logic may be fully tested with 200 test vectors, estimate the time now required to complete a full test.
Important organization and impacts on us economy : Please share various reasons the corporation is a most important organization and impacts on U.S. economy. At least 200 words with references.
Who was the target audience for the commercials : List what commericals were run during, before and after the news program. How much time was used for the commercials. What was being advertised in the commericals. Who was the target audience for the commercials?
Describes is an example of zero sum competition : Zero sum competition is based on the concept of a winner and a loser in a business relationship. The cost shifting that Porter describes is an example of zero sum competition. For example – managed care gets paid for covered lives and reduces the amo..
Proposed nuclear power plant : A proposed nuclear power plant will cost $2.9 billion to build and then will produce cash flows of $370 million a year for 15 years. After that period (in year 15), it must be decommissioned at a cost of $970 million.
The issues of negligence-professional negligence : You must submit a written analysis of this case at the beginning of class using the IRAC methodology (Issue, Rules, Analysis, Conclusion) to the issues of negligence, professional negligence and product liability. Determine, using facts and law, whet..
Develop a test sequence for this device : develop a test sequence for this device for all single-stuck faults on inputs and outputs.
Determine validity or invalidity of peace corps volunteers : Determine the validity or invalidity of the original arguments.- All Peace Corps volunteers are people who have witnessed poverty and desolation, and all people insensitive to human need are people who have failed to witness poverty and desolation..
Prepare a presentation to accompany the teaching plan : Identify the best approach for teaching. Prepare a presentation to accompany the teaching plan and present the information to your community. Select one of the following options for delivery of the presentation.

Reviews

Write a Review

 

Finance Basics Questions & Answers

  What will the price be 9 years from now

A 30-year, $1,000 par value bond has a 9.5% annual payment coupon. The bond currently sells for $875. If the yield to maturity remains at its current rate, what will the price be 9 years from now?

  What you plan to implement in your life.

Write about what was included in each chapter. You are welcome to add what you learned or how you felt, but you will be graded on writing about what was included in each chapter.

  Explain the results in terms of time value of money

First, consider Lisa's savings. She began working at age 20 and began making an annual contribution of $2,000 at the first of the year beginning with her first year. She makes 13 contributions. She worked until she was 32 and then left full time work..

  What is the depreciation expense

A project requires $84,749 of equipment that is classified as a 7-year property. What is the depreciation expense in Year 5 given the following MACRS depreciation allowances, starting with year one: 14.29, 24.49, 17.49, 12.49, 8.93, 8.92, 8.93, an..

  Minimum average collection period

The minimum average collection period required to approve the cash discount plan is _________days?

  What is the net present value of this project

The tax rate is 35%. Your estimated cost of capital is 10%. What is the net present value of this project?

  What is the current value of api''s common stock

what is the current value of API's common stock?  This problem requires a three-part calculation, involving the CAPM & constant growth models, to solve it - FYI, all of these concepts were also covered in the prerequisite BUSI 320 course - Corporate ..

  Conclude about personal investment preferences

What would you conclude about your personal investment preferences, and how would you assess a client who shares your personal investment preferences?

  An investment offers a 14 percent total return

An investment offers a 14 percent total return over the coming year. Alan Wingspan thinks the total real return on this investment will be only 10 percent. What does Alan believe the inflation rate will be over the next year? (Do not round intermedia..

  Letter regarding the developing my business plan

Write a 350 to 700 word response to the following e-mail:

  Determine the percentage of the nikkei return that your firm

Determine the percentage of the Nikkei return that your firm should offer to cover its costs. Your firm would then set the percentage offered at less than this. If your firm sells this security, comment on the risk it creates for itself and sugges..

  Cost of financing with foreign currencies

Explain the difference in the cost of financing with foreign currencies during a strong-dollar period versus a weak-dollar period for a U. S. firm.

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