Find the net present value of the project

Assignment Help Financial Management

Reference no: EM131985041

Simpson Enterprises is considering a new project with cash inflows of $325,000 for the indefinite future. Cash costs are 63 percent of the cash inflows.

The initial cost of the investment is $425,000. The tax rate is 35 percent and the unlevered cost of equity is 17 percent. What is the net present value of the project?

Reference no: EM131985041

Questions Cloud

What is sids inflation adjusted return : Sid caesar is 42 years of age and wants to achieve financial independence by age 65. for the next 23 years, sid estimates that the inflation rate will be 4%.

Discuss the advantages and disadvantages of histograms : Discuss circumstances under which it is preferable to use relative frequency distributions instead of frequency distributions

Cultural diversity in literacy classrooms : Based on information you read about cultural diversity in literacy classrooms

Impact the zen practitioner view of reality : How does this teaching impact the Zen practitioner's view of reality?

Find the net present value of the project : Simpson Enterprises is considering a new project with cash inflows of $325,000 for the indefinite future. Cash costs are 63 percent of the cash inflows.

List the trip ids and trip names for each pair of trips : List the trip IDs and trip names for each pair of trips that have the same start location. (For example, one such pair would be the trip Id 2 and trip ID 3).

Identify the significance of delta to the bopm : What is the significance of delta to the BOPM? How does it relate to the concept of a replicating portfolio and why is that important?

Discuss the idea that traditional banks may be dying : Discuss the idea that traditional banks may be dying. The argument states that some authorities believe that traditional banks still exist

Develop a small console program driven by a text menu : Write a BASH & PERL script to help users calculate compressed file size. Develop a small console program driven by a text menu.

User Account

All Pages