Calculate the net present value with a required return

Assignment Help Accounting Basics
Reference no: EM133003251

Question - Calculate the net present value with a required return of 8%, an initial investment of $45,000, and cash flows of $12,000; $20,000, $10,000, and $6,000 for years 1 through 4 respectively.

Reference no: EM133003251

Questions Cloud

What is enterprise value of the firm : You believe the free cash flow will grow at 6% per year thereafter. What is enterprise value of the firm if the required return is 10%
Write all about mentors : Write about mentors/protege
What is the break-even point for this firm in March : Given the data below, Sales for March: $25,000 (avg price is $50) COGS: 10,000. What is the break-even point (volume of units) for this firm in March
What is ratchets rotator rate of return : During the year it generated Php 4,000 in cash flow. If Ruzty sells it, he could receive Php 6,100 for it. What is ratchets rotator's rate of return
Calculate the net present value with a required return : Calculate the net present value with a required return of 8%, an initial investment of $45,000, and cash flows of $12,000; $20,000, $10,000, and $6,000
Record depreciation for March : Salmon Fisheries is owned by Matthew Kulak and provides fish products to the fishing industry. Record depreciation for March
Prepare journal entries to account for the activity : Mark Company acquired 30% of the stock Christian Minerals Company. Prepare journal entries to account for the activity pertaining
Calculate the NPV of this investment : Question - Sandhill Company is considering buying a new farm that it plans to operate for 10 years. Calculate the NPV of this investment
What is the present value of an annuity : What is the present value of an annuity of $20,000 received at the end of the year for 8 years where the required rate of return is 6.25% per annum

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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