What is the npv of the ticket scalping venture

Assignment Help Finance Basics
Reference no: EM13269443

Sammy is also considering a ticket scalping business venture. Sammy estimates that for a $2,000,000 investment in inventory she can sell the tickets for $6,000,000 in the next year (CFs realixed in precisely one year). Also has 6% interest rate. What's the NPV of the ticket scalping venture?

Reference no: EM13269443

Questions Cloud

Psychological-ethical egoism-weigh in on possibity altruism : What are the differences between psychological and ethical egoism and weigh in on the possibility of altruism.
At what overdrive voltage is the mosfet operating : What is the maximum output resistance that the source follower must have if the output voltage is to remain within + or - 20% of nominal value. If the MOSFET has kn = 16 mA/V^2, at what current ID must it be biased.
What price should new investors be willing to pay : Suppose that instead of using her own $2 million to start the new business venture Sammy wants to issue 100,000 new shares in order to raise equity. What price should new investors be willing to pay? How many shares need to be sold to new investor..
Find the flow speed at the wide portion : A horizontal pipe shown in the figure has a cross-sectional area A1 = 37.5cm2 at the wider portions and A2 = 9.40cm2 at the constriction. Find the flow speed at the wide portion
What is the npv of the ticket scalping venture : Also has 6% interest rate. What's the NPV of the ticket scalping venture?
Determine what must be the gm of mosfet : A CG amplifier when fed with a signal source having Rsig = 200 ohms is found to have an overall voltage gain of 10V/V. When a 200 ohm resistance is added in series with the signal generator the overall voltage gain decreased to 8V/V.
Which investment should sammy choose : Sammy is endowed with $10,000,000 and is considering whether to invest in a business venture. Perfect capital markets, interest rate of 6%.
Evaluate the molar mass of the unknown compound : A solution is prepared by dissolving 3.00 g of an unknown nonelectrolyte in 20.00 g of cylcohexane (tf = 6.6 oC and kf = 20.0 oC/m). What is the molar mass of the unknown compound if the solution has a freezing point of -6.4 oC
The frn has quarterly coupons equal to three-month : Takeda Development Corporation has issued a $100 million floating rate note (FRN) that will mature in three years. The FRN has quarterly coupons equal to three-month LIBOR,

Reviews

Write a Review

Finance Basics Questions & Answers

  Calculate the amortization expense

A patent was acquired through Grotius Corporation on January 1, 2000, at a cost of $72,000. The useful life of the patent was estimated to be ten years.

  Discussion and analysis of financial condition

Accessing the MD&A Management's Discussion and Analysis of Financial Condition and Results of Operation from the company's most recent Annual Report or Form 10-K,

  Calculating degree of financial leverage

Illinois Tool Corporation fixed operating expenses are $1,260,000 and its variable cost ratio (ie. variable costs are as a fraction of sales) is 0.70. The firm has $3,000,000 in bonds outstanding at an interest rate of 8 percent.

  Calculate the contribution margin ratio

Rock is sold to contractors who use the product in construction projects. Requires to increase sales by advertising. Spend $100,000 advertising campaign. Calculate the contribution margin ratio

  Regulating depository financial institutions

Why the United State public has not acceted the concept "The free market is the best regulator of business" for regulating depository financial institutions.

  How much does dynamo currently pay in interest

How much does Dynamo currently pay in interest, and how much will it have to pay after the restructuring in the prior problem, assuming that the cost of debt is constant?

  Bankruptcy laws-implication for entrepreneurs

What are the implications of your answer for the entrepreneurs, creditors, and the national economy?

  Discuss financial ratios and investment analysis

Describe how external stakeholders use financial data such as company income statements and balance sheets to make decisions about the company in such cases as advancing credit or offering leasing vehicles.

  How can you reduce risk using diversification technique

What is risk? How do you quantify risk? Discuss different types of risk. In finance literature, it is widely accepted that diversification reduces risk.

  Calculate the geometric average return

Assume a particular investment earns a return of 10% in year 1, -5% (note MINUS 5%) in year 2, and 30 percent in year 3.

  Utilizes the payback method to evaluate investment proposal

Recycle Paper Company utilizes the payback method to evaluate investment proposals. It is presently considering two investment opportunities

  What is the horizon value given the company

what is the horizon value given the company has historical growth of 3% and a discount rate of 10%? (answers in $millions)

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