Profitability index of the investment

Assignment Help Basic Computer Science
Reference no: EM131579014

You are offered an investment with returns of $ 2,487 in year 1, $ 3,997 in year 2, and $ 5,478 in year 3. The investment will cost you $ 7,154 today. If the appropriate Cost of Capital (quoted interest rate) is 8.4 %, what is the Profitability Index of the investment? Enter your answer to the nearest .01. Do not use the $ sign or commas in your answer. If the NPV is negative, use the - sign.

Reference no: EM131579014

Questions Cloud

Explain what is social disorganization : What is social disorganization. How does social disorganization relate to organized crime and its evolution
Factors contribute to health illiteracy and vulnerability : What can health care professionals do to improve health literacy and health status for vulnerable populations?
Investment decisions-mortgages : New regulatory requirement imposed on banks and financial institutions may have impacted a bank's ability to generate mortgages for home buyers.
Leverage in the capital structure : What is the value of the firm's tax shield (i.e. the change in firm value due to the use of leverage in the capital structure)?
Profitability index of the investment : What is the Profitability Index of the investment? Enter your answer to the nearest .01. Do not use the $ sign or commas in your answer.
Produce sales companys condensed income statement : Using the following additional information, fill in the missing values: Produce Sales Company's condensed income statement for the years 2013 and 2012
An individuals or a subpopulations vulnerability : What are some strategies that health care organizations should implement to reduce racial and ethnic disparities?
Explain main operational units existing police departments : Identify and explain the three main operational units existing within large police departments and the primary function(s) of each type of unit.
Twenty years and expects to continue : The company has increased its dividend by 3.25 percent a year for the past twenty years and expects to continue doing so.

Reviews

Write a Review

Basic Computer Science Questions & Answers

  Disgruntled customer disagrees with claim

An advertisement for the Valu-For-Your-Money supermarket claims that customer service is rated 9.8 (out of 10). A disgruntled customer disagrees with this claim. The customer randomly selected a sample of 100 customers and found that the sample me..

  What windows cli command will display

What Windows CLI command will display all current resources that your computer is making available to other network users

  New network or upgrade a network

What problems could arise if you don't understand traffic behaviour when you build a new network or upgrade a network?

  How has modern technology impacted people''s views on ethics

Has the view of what is right or wrong in American culture changed in the last 20 years as a result of people's increased use of information technologies?

  Relationship between influence and power

Explain power and compare how it relates to leadership. Analyze the five sources of power. Summarize the relationship between influence and power

  Compute the mean and standard deviation of the rolls

Also, your application should show a table that shows each possible roll of the dice and its frequency of occurrence in the simulation in a listbox. In other words, the table shows the count of a roll of 2, the count of a roll of 3, and so on up t..

  Information security audits

Network Security - Information Security Audits (word count 850) Which of the following would be part of an bi-annual corporate audit and what type of information would be gathered including which polices if any would apply?

  Which best explains why packets in a network may be received

The IP protocol often creates packets with different header formats with different size byte fields. The packets with large headers take longer to get transmitted

  Procurement risks-learning activity

Supporting Activity: Procurement Risks - Learning Activity A local services company is looking to add a service request and tracking system to their website.

  Powerful component of ssis

Question: Explain why variables called the most powerful component of SSIS.

  How many bytes of data were originally sent

An IPv4 fragment has arrived with an offset value of 100. How many bytes of data were originally sent by the source before the data in this fragment?

  Write a program that accepts as input a number of oranges

Write a program that accepts as input a number of oranges and produces as output the minimum baseline requried at the lowest level so that all of these oranges can be included in this stack. The number of oranges is always a positive integer.

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