What is the total initial cash outflow

Assignment Help Biology
Reference no: EM132417987

Problem: Your corporation is considering replacing older equipment. The old machine is fully depreciated and cost $46,179.00 seven years ago. The old equipment currently has no market value. The new equipment cost $73,974.00 . The new equipment will be depreciated to zero using straight-line depreciation for the four-year life of the project. At the end of the project the equipment is expected to have a salvage value of $38,947.00 . The new equipment is expected to save the firm $19,643.00 annually by increasing efficiency and cost savings. The corporation has tax rate of 29.20% and a required return on capital of 9.24% .

Required:

a) What is the total initial cash outflow? (show as negative number)

b) What are the estimated annual operating cash flows?

c) What is the terminal cash flow?

d) What is the NPV for this project?

Reference no: EM132417987

Questions Cloud

Intern of sales reporting in distribution : Intern of sales reporting in distribution , Public Relation in the marketing department and Intern of Equity Research Analyst
What is the current value of stock : The required rate of return is 15.50 percent what is the current value of stock?
What should be the market price of crane stock : If investors in stocks of companies like Crane require a rate of return of 20 percent, what should be the market price of Crane stock?
Difference between time value of money and present value : What's the difference between time value of money and present value, isn't present value just a part of time value of money?
What is the total initial cash outflow : a) What is the total initial cash outflow? (show as negative number) b) What are the estimated annual operating cash flows?
What is the npv of project z : Project Z has an initial investment of $83,681.00 ... The project is expected to have cash inflows of $26,727.00 at the end of each year for the next 17.0 years
What is the operating cash flow for year 3 : The company has a tax rate of 35 percent. What is the operating cash flow for Year 3?
What is the year 4 cash flow : The tax rate is 34 percent. What is the Year 4 cash flow?
Approximate convexity measure of the bond : Calculate the approximate duration and approximate convexity measure of the bond? Hello can you please answer this problem ASAP.

Reviews

Write a Review

Biology Questions & Answers

  Immune response to infectious disease

It is a very curcial concept to understand how the immune response is mounted against viruses, bacteria, protozoans and helminthes. For an effective immune response, both innate and adaptive immunity should work together.

  A review on advanced glycated end products (ages)

This Project report elaborates a critical review of important elements attached to Advanced Glycated End Products (AGEs). It is very crucial to understand the process called Millard reaction.

  Plastic as a soil stabilizer

Soil stabilization is the permanent physical and chemical alteration of soils to enhance their physical properties. Stabilization can increase the shear strength of a soil and control the shrink-swell properties.

  Principles of microbiology

This assignment has three parts which contains questions related to Microbiology. It contains basic principles of microscopy, staining techniques in microbiology and microbial growth in the food industry.

  List the biologic functions

Lipid metabolites are often seen as key elements in cellular signaling. Is this unique? Please provide several examples of the function of lipids as key elements in signal arrays and list the biologic functions these signals affect?

  Biologic function relationships

Please describe how one might search for chemical structure, biologic function relationships, involving small molecular weight lipophylic compounds. Provide one example.

  Case study on patient in the haematology laboratory

Write a case study which detailing a scenario of a patient being investigated in the Haematology laboratory.

  Use of pcr and genetic approaches in biotechnology

The use of PCR and genetic approaches in biotechnology

  Describe the role of this enzyme in honey

Glucose oxidase is an enzyme that can be used for measurements of glucose levels by combining this reaction with an oxygen probe.

  Genetic problems

What phenotypic ratio would you get if you crossed a white mouse and a heterozygous brown mouse?

  Prepare an essay on nosocomial infection

Prepare an essay on nosocomial infection.

  Monitoring and recording the blood pressure

To increase the awareness of monitoring and recording the blood pressure of patients and practice measuring blood pressure in a safe environment.

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