Calculate the terminal value and PV cost

Assignment Help Financial Management
Reference no: EM132070115

Blue Water Systems is analyzing a project with the following cash flows. Should this project be accepted based on the discounting approach to the modified internal rate of return if the discount rate is 14 percent? The MIRR is 17.85 percent.

The year 0 cash flow is 236000, year 1 cash flow is 137400, year 2 cash flow is 189300, year 3 cash flow is -25000

What is the terminal value and pv cost and how MIRR comes from, can help calculate the terminal value and PV cost and get the answer if MIRR?

Reference no: EM132070115

Questions Cloud

Account have to be to accomplish your goal : How much will the monthly payment in this account have to be to accomplish your goal?
Compute their federal income tax : They have computed that their allowable item ized deductions are $5000. Compute their federal income tax.
What is discounted payback period : What is the discounted payback period of the above project? What is the NPV of this project?
New stocks be to achieve the target required rate of return : Tenants in common is a way of. What must the average beta of the new stocks be to achieve the target required rate of return?
Calculate the terminal value and PV cost : Calculate the terminal value and PV cost and get the answer if MIRR?
What kind of tenancy is this : Winston, Nick, Jess and Schmidt rent their apartment. They sign a one year lease. They pay their rent once a month. What kind of tenancy is this?
Money needed for the payout schedule : How much short or in excess are you to achieving your goal of having all the money needed for the payout schedule as defined above?
Why the securities and exchange commission require : Discuss why the Securities and Exchange Commission require a third-party accounting firm to sign off on financial information
How much interest would you have paid in total : If you keep the loan for the entire time period, how much interest would you have paid in total?

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