What are the project npv and irr

Assignment Help Financial Management
Reference no: EM131613314

A company just paid $10 million for a feasibility study. If the company goes ahead with the project, it must immediately spend another $100 million now, and then spend $20 million in one year. In two years it will receive $80 million, and in three years it will receive $90 million. If the cost of capital for the project is 11 percent, what are the project's NPV and IRR?

Reference no: EM131613314

Questions Cloud

What is the net present value of this project : A company is considering a 6-year project that requires an initial outlay of $ 18,000. what is the net present value (NPV) of this project?
Discuss the key features of each market structure : Discuss the key features of each market structure such as number of sellers, type of product, entry conditions
What is the predicted long-term population of shrimp in bay : What is the predicted long-term population of shrimp in the bay, given any positive initial condition? (c) If shrimp are harvested out of the bay by fishermen.
Information systems model for a mid-size firm : Develop a strategy for implementing an information systems model for a mid-size firm.
What are the project npv and irr : If the cost of capital for the project is 11 percent, what are the project's NPV and IRR?
Which estimate is likely to be more? accurate : Estimate the value of Rocky Brands stock using both multiples. Which estimate is likely to be more? accurate?
Additional information on risk management plans : A Risk Management Plan Starts with a Facility Audit" for additional information on risk management plans.
Explain the stages and domains of development : Explain the stages and domains of development, including physical and motor development, social-emotional development, self-help development.
How will government regulation impact decision making : How will government regulation impact decision making? Will the community's makeup be a consideration for decision makers?

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