What is present worth of the expected revenue over 12 months

Assignment Help Business Management

Reference no: EM131374924

Regional Express is a small courier service. By introducing a new computerized tracking device, they anticipate some increase in revenue, currently estimated at $2.75 per parcel.

The possible new revenue ranges from $2.95 to $5.00 per parcel with probabilities shown in the table below.

Assuming that Regional's monthly capacity is 60 000 parcels and the monthly operating and maintenance costs are $8000, what is the present worth of the expected revenue over 12 months?

Regional's MARR is 12%, compounded monthly.

Revenue per parcel	$2.95	$3.25	$3.50	$4.00	$5.00
Probability	0.1	0.35	0.3	0.15	0.1

Reference no: EM131374924

Questions Cloud

Explain the expectancy theory of motivation : Many employees are not satisfied with compensation at risk plans because they do not understand the process used to determine their pay. Explain, provide examples, ask questions, and discuss compensation at risk plans.Explain the expectancy theory..

Calculate the present worth of the monthly expenses : Calculate the present worth of the monthly expenses over the expected life of the car (before a major repair). Katrina's MARR is 10%, compounded monthly.

Which division of the nervous system is working : Which division of the nervous system is working when we experience emotions? Which of the following is the correct definition of emotion

What three skills or competencies do you possess : Why are you interested in the position? Consider what makes the position, organization, or company interesting to you. What three skills or competencies do you possess that match the skills the employer is seeking in a candidate?

What is present worth of the expected revenue over 12 months : Assuming that Regional's monthly capacity is 60 000 parcels and the monthly operating and maintenance costs are $8000, what is the present worth of the expected revenue over 12 months?

Modify the knight''s tour program : A closed tour occurs when the 64th move is one move away from the location in which the knight started the tour. Modify the Knight's Tour program you wrote to test for a closed tour if a full tour has occurred.

Explain the organizational characteristics that influence : In your own words, define training, and explain how training has evolved from training as an event to learning. Discuss the difference between learning and knowledge in your response. Explain the organizational characteristics that influence train..

Write a recursive function testpalindrome : Write a recursive function testPalindrome that returns true if a string is a palindrome, and false otherwise. Note that like an array, thesquare brackets ([]) operator can be used to iterate through the characters in a string.

Explain emotional intelligence and give examples of concept : Fully explain emotional intelligence, and give two examples of the concept. Next, examine the concept of "emotional quotient" compared to traditional "intelligence quotient."

User Account

All Pages