Calculate the npv for each of the projects

Assignment Help Financial Management
Reference no: EM131613004

 Show calculations, no excel

Using 14% of the cost of capital calculate the NPV for each of the projects shown in the following table and indicate whether or not each is acceptable.

Project A Project B Project C Project D Project E

Initial cash outflow (CFo) (a)R 20 000 (b)R 600 000 (c) R150 000 (d) R 760 000 (e) R 100 000

1 (a)R 3 000 (b)R120 000 (c)R 18 888 (d)R 185 000 (e)R 0

2 (a)R 3 000 (b)R 145 000 (c)R 17 000 (d)R 185 000 (e)R 0

3 (a)R 3 000 (b)R 170 000 (c)R 16 000 (d)R 185 000 (e)R 0

4 (a)R 3 000 (b)R 190 000 (c)R 15 000 (d)R 185 000 (e)R 25 000

5 (a) R 3 000 (b)R 220 000 (c)R 15 000 (d)R 185 000 (e)R 36 000

6 (a) R 3 000 (b)240 000 (c)R 14 000 (d)R 185 000 (e)R 0

7 (a) R 3 000 (c)R 13 000 (d) R 185 000 (e) R 60 000

8 (a) R 3 000 (c) R 12 000 (d) R 185 000 (e) R 72 000

9 (a) R 3 000 (c) R 11 000 (e) R 84 000

10 (a) R 3 000 (c) R 10 000

Reference no: EM131613004

Questions Cloud

Calculate the taxable equivalent yield for this investment : Assume you are in the 30 percent tax bracket and purchase a 6.6 percent municipal bond. Calculate the taxable equivalent yield for this investment.
Estimate your total insurance needs using the dink method : You and your spouse are in good health and have reasonably secure careers. Estimate your total insurance needs using the DINK method.
Black-scholes equation to determine prices of call and put : Use the Black-Scholes equation to determine the prices of the call and put.
Projected three possible scenarios for project as follows : An investor has projected three possible scenarios for a project as follows:
Calculate the npv for each of the projects : Using 14% of the cost of capital calculate the NPV for each of the projects shown in the following table and indicate whether or not each is acceptable.
What is the present worth of this machine : The Nas Company purchased a loader for $52254. At the end of its 8-year useful life, What is the present worth of this machine?
What is the markup percentage for the company product : What is the markup percentage for the company's product?
Consider covered call the stock : Consider a covered call (buy the stock, write a call option against it) position in Goldman Sachs (GS).
Which of these investments is more risky : Let’s suppose that you are considering investing in two investments. Which of these investments is more risky?

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

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