What is the terminal year after-tax nonoperating cash flow

Assignment Help Operation Management
Reference no: EM132820076

XYZ Company is considering the purchase of a new machine for $360,000, and an additional $40,000 is needed to install it. The machine will be depreciated straight-line to zero over a five-year life. The machine will generate no additional revenues, but it will reduce cash operating expenses by $140,000 annually. The machine will be sold for $110,000 after five years. An inventory investment of $80,000 is required during the life of the investment. XYZ is in the 40% tax bracket.

What is the terminal year after-tax nonoperating cash flow at the end of year five?

Reference no: EM132820076

Questions Cloud

Differences between service and manufacturing operation : Identify major differences between a service and manufacturing operation. Find an example of a process layout of a local business.
Evaluate how to effectively execute your plan : You are the head of HR and the leaders of your organization just approached you to restructure the sales team. Evaluate how to effectively execute your plan.
Explain three or four job components in the job description : Write a 5-7 paragraph paper in which you: Explain three or four job components in the job description and specifications for the job
What are hala inc capital structure weights : Hala Inc. has 16,000,000 shares of common stock outstanding. The current share price is $55.00 and the book value per share is $6.00.
What is the terminal year after-tax nonoperating cash flow : What is the terminal year after-tax nonoperating cash flow at the end of year five?
Management Of Technology And Innovation : Describe a generic framework of Internal Innovation steps involved, and what activities must be considered in each of this framework steps.
Effective communication in international projects : What do you consider important regarding the planning of effective communication in international projects?
Employee Engagement and Teams : Reflect on a team of which you have been a part or a team with which you are familiar (excluding your current course team).
Discuss the impact of mass incarceration on minorities : Discuss the impact of Mass incarceration on the criminal justice system. Discuss the impact of Mass incarceration on minorities and marginal offenders.

Reviews

Write a Review

Operation Management Questions & Answers

  Book review - the goal

Operations Management is about a book review. Title of the book is "Goal". This book has been written by Dr. Eliyahu Goldartt. The book has been appreciated by many as one of those books which offers an insight into the operations and strategic capac..

  Operational plan in hospitality enterprise

Operational plan pertaining to a hospitality enterprise is given in detail in the solution. The operational plan is an important plan or preparation which gives guidelines regarding the role and responsibilities of each and every operation at all lev..

  Managing operations and information

Recognise the importance of a strategic approach to the development and deployment of organisational information systems. Demonstrate an understanding of the importance of databases and their integration to the organisation's overall information mana..

  A make-or-buy analysis

An analysis of the holding costs, including the appropriate annual holding cost rate.

  Evolution and contributor of operations management

Briefly explain Evolution and contributor of Operations management.

  Functions and responsibilities of an operations manager

A number of drivers of change have transformed the roles, functions and responsibilities of an operations manager over recent years. These drivers have not only been based on technological innovations but also on the need for organisations to develop..

  Compute the optimal order quantity

Compute the Optimal Order quantity of DVD players. Determine the appropriate reorder point.

  Relationship to operations practice in the organisation

Evaluate problems in operations and identify approaches to overcoming them. Critically evaluate operating plans and identify areas for improvement. Justify, implement and evaluate changes to operations in line with modern approaches.

  A make or buy analysis

Develop a report for Figi Fabricating that will address the question of whether the company should continue to purchase the part from the supplier or begin to produce the part itself.

  Prepare a staffing plan

Prepare a staffing plan showing the change of your unit from medical/surgical staffing to oncology staffing.

  Leadership styles in different organizations

Ccompare the effectiveness of different leadership styles in different organizations

  Risk management tools and models

Be able to understand the concept of risk, roles and responsibilities for risk management and risk management tools and models.

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