User Account

All Pages

Present value of net benefits for the project

Assignment Help Macroeconomics
Reference no: EM131153779

An analyst predicts that the present value of benefits of a two-year project would be $220,000 and the present value of the scrap value at the end of the project's life is expected to be $18,000. Given a 5% discount rate, he also expects the present value of costs would be $200,000. How much is the present value of net benefits for the project?

  • $15,873
  • $34,467
  • $17,546
  • $38,000

Reference no: EM131153779

Questions Cloud

Pending issues in context of global crisis : Describe some achievements and pending issues in context of global crisis?
Decrease the gross domestic product measured : How can an increase in taxation decrease the gross domestic product measured?
Considering using a piece of park land : A county is considering using a piece of park land for one of two alternative recreation projects. Project A would require construction costs of $2 million (year 0) and generate net benefits of $1 million per year for 10 years.
Considering using a piece of park land : A county is considering using a piece of park land for one of two alternative recreation projects. Project A would require construction costs of $2 million (year 0) and generate net benefits of $1 million per year for 10 years.
Present value of net benefits for the project : An analyst predicts that the present value of benefits of a two-year project would be $220,000 and the present value of the scrap value at the end of the project's life is expected to be $18,000. Given a 5% discount rate, he also expects the prese..
Present value of total benefits for the project : If an analyst predicts that the benefits of a two-year project would be $100,000 in the middle of the first year and $110,000 in the middle of the second year, the scrap value at the end of the project's life is expected to be $20,000 upon resale,..
Explain rawls theory of justice : Explain Rawls's theory of justice and all its parts--including the purpose of the Original Position and the reasoning the leads to the two principles of justice. Be sure to state the two principles of justice.
Key differences between the two articles : summarize the key differences between the two articles and the perspectives they provide. Then take a stand. If you were required to lower inventory costs while still maintaining customer satisfaction, what would you do?
Think about common shopping behavior : Think about common shopping behavior and the differences between personal preferences. Some people shop daily for the items they need daily. This is, in fact, the common model still today in most of Europe and Asia.

Reviews

Write a Review

Macroeconomics Questions & Answers

  Inflation targeting be a good policy

Why might it be difficult for the Fed to formally adopt inflation targeting?  Would inflation targeting be a good policy for the Fed in the present economic environment

  In using the taylor rule

In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?

  Describe the present economic crisis situation in europe

Describe the present economic crisis situation in Europe.  Why has it been so difficult for the Europeans to find a solution to this problem?   Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..

  Long-term federal government budget problems

Question:. Explain why there are long-term Federal government budget problems. Explain why the base-line forecast of the CBO is misleading.

  Derive and compare demand curve

Question based on Derive and compare demand curve,  Derive Ambrose's demand function for peanuts. How does it compare with Johnny's demand curve for peanuts?

  Problem based on utility function

Problem based on  Utility Function - Problem,  Answer and explain the following using a diagram which is completely labeled.

  Laffer curve : tax rate and tax revenue

Question based on Laffer Curve : Tax Rate and Tax Revenue,  Do raising tax rates necessarily raise tax revenue? What factors affect how tax revenue changes when tax rates change?

  Problem - income elasticity of demand

Problem - Income Elasticity of Demand,  Interpret the following Income Elasticities of Demand (YED) values for the following and state if the good is normal or inferior; YED= +0.5 and YED= -2.5

  Positive balance of payment

Question Positive Balance of Payment: "Things will look good for the US if we could just get to where we are consistently running a positive Balance of Payments."

  Effect of recession on the investment curve

Comment on the effect of a recession on the investment curve (only) and on the level of savings, investment, and the equilibrium real interest rate in the financial crisis that hits United States first starting in fall 2007.

  Affect of falling domestic investment on trade surplus and

How will a fall in domestic investment affect the trade surplus and net capital outflows in the domestic economy, the trade deficit and capital inflows in the rest of the world.

  Crises in the banking sector and bank run

Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd