How much is the expected average rate of return

Assignment Help Accounting Basics
Reference no: EM131768728

Question 1 How much is the expected average rate of return for a proposed investment of $800,000 in a fixed asset with a useful life of 4 years, straight-line depreciation, no residual value, and an expected total net income of $360,000 for the 4 years?

a. 45%

b. 22.5%

c. 11.3%

d. 5.5%

Reference no: EM131768728

Questions Cloud

Rebel forces opposing the mozambique government : The SS Anxious was transporting goods to several ports on the east coast of Africa, including Beira in Mozambique. While still several hundred miles at sea.
Discuss tax return and reduce his taxable income : Godfrey can amend his 2016 tax return and reduce his taxable income
Analyse bellinghams current financial position : 7BSP1245 Finance for International Business - Advise the Board on the forex risk aspects of the project. You should support your arguments
Problem on-pay off the balance due on the loan : Mr. Ess, the owner of the SS Skimpy and an American citizen, borrows money from Multi Bank in London to outfit his ship, giving the bank a maritime lien.
How much is the expected average rate of return : How much is the expected average rate of return for a proposed investment of $800,000 in a fixed asset with a useful life of 4 years
Increase the money supply by buying bonds : Monetary policy- Increase the money supply by buying bonds in order to increase interest rates.
What is the marginal propensity to consume in economy : a. Explain the meaning of each of these equations. b. What is the marginal propensity to consume in this economy?
Define standards for the sale of cars in the country : State Z's automobile manufacturing industry is one of the largest and most highly regarded in the world. The industry is concerned that it may lose some.
Reimporting assembled and operational video games : Eve, a national of State A, owns the technology for manufacturing a video game called "Porn-Man" that involves the use of the latest and most advanced computer.

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