An investment project costs $15,500 and has annual cash flows of $4,400 for six years. What is
Question:
An investment project costs $15,500 and has annual cash flows of $4,400 for six years. What is the discounted payback period if the discount rate is 0 percent? What if the discount rate is 7 percent? If it is 21 percent?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (6 reviews)
To calculate the discounted payback discount all future cash flow...View the full answer
Answered By
ANDREW KIPRUTO
Academic Writing Expert
I have over 7 years of research and application experience. I am trained and licensed to provide expertise in IT information, computer sciences related topics and other units like chemistry, Business, law, biology, biochemistry, and genetics. I'm a network and IT admin with +8 years of experience in all kind of environments.
I can help you in the following areas:
Networking
- Ethernet, Wireless Airmax and 802.11, fiber networks on GPON/GEPON and WDM
- Protocols and IP Services: VLANs, LACP, ACLs, VPNs, OSPF, BGP, RADIUS, PPPoE, DNS, Proxies, SNMP
- Vendors: MikroTik, Ubiquiti, Cisco, Juniper, HP, Dell, DrayTek, SMC, Zyxel, Furukawa Electric, and many more
- Monitoring Systems: PRTG, Zabbix, Whatsup Gold, TheDude, RRDtoo
Always available for new projects! Contact me for any inquiries
4.30+
1+ Reviews
10+ Question Solved
Related Book For
Corporate Finance Core Principles And Applications
ISBN: 9781260571127
6th Edition
Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford Jordan
Question Posted:
Students also viewed these Business questions
-
An investment project costs $ 15,000 and has annual cash flows of $ 3,800 for six years. What is the discounted payback period if the discount rate is 0 percent? What if the discount rate is 10...
-
An investment project costs $10,000 and has annual cash flows of $2,900 for six years. What is the discounted payback period if the discount rate is zero percent? What if the discount rate is 5...
-
An investment project costs $15,000 and hasannual cash flows of $3,800 for six years. 1) What is the discounted payback period if the discount rate is 0 percent? 2) What if the discount rate is 10...
-
Suppose you wanted to hasten the transition from a depletable fossil fuel to solar energy. Compare the effects of a per-unit tax on the depletable resource to an equivalent per-unit subsidy on solar...
-
One of the CRASH variables saved in the accompanying file is the severity of a driver's head injury when the car is in a head-on collision with a fixed barrier while traveling at 35 miles per hour....
-
You can earn .31 percent per month at your bank. If you deposit $1,800, how long must you wait until your account has grown to $3,100?
-
A system consists of 5 identical components connected in parallel. Determine the reliability of each component if the overall reliability of the system is to be 0.96 ?
-
Bentley estimates manufacturing overhead of $1,800,000 for 2013 and will apply overhead to units produced based on 720,000 machine hours. During 2013, Bentley used $1,450,000 of raw materials, paid...
-
At 30 June 2022, the share capital of Shire Ltd was comprised of: 1,600,000 ordinary shares issued in 2018 and paid to $2.60 per share less share issue costs of $32,000. 750,000 ordinary shares...
-
The mean and variance of a finite population {a 1 , . . ., a N } are defined by For a finite population, show that the sample variance S 2 is a biased estimator of 2 . and o a, and =1 i=1
-
An investment project has annual cash inflows of $5,100, $5,700, $6,200, and $6,400, and a discount rate of 12 percent. What is the discounted payback period for these cash flows if the initial cost...
-
In November 2018, Toyota and Mazda broke ground on a $1.6 billion plant to be operated jointly in Alabama. Toyota and Mazda apparently felt that they would be better able to compete and create value...
-
What are two examples of assurance providers?
-
Find the present value of the ordinary annuities in Problems 21-32. Amount of Deposit m 32. $100 Frequency n quarterly Rate r 3% Time t 20 yr
-
In Problems 12-15, match each formula in Column A with the type of financial problem in Column B. Column A 14. m = A() (1+) - 1 Column B Present value of an annuity
-
Consider selecting two elements, say, \(a\) and \(b\), from the set \(A=\{a,b, c,d, e\}\). List all possible subsets of \(A\) using both elements, as well as all possible arrangements.
-
In Problems 20-52: a. State the type; and \(\mathbf{b}\). Answer the question. Major Magic Corporation deposits \(\$ 1,000\) at the end of each month into an account paying \(1.8 \%\) interest...
-
In Problems 20-52: a. State the type; and \(\mathbf{b}\). Answer the question. You want to give your child a million dollars when he retires at age 65 . How much money do you need to deposit into a...
-
On January 1, 2016, Cam borrows $400,000 from Ven. The five-year term note is a variable-rate one in which the 2016 interest rate is determined to be 8 percent, the LIBOR rate at January 1, 2016,...
-
Suppose that the laptop of Prob. 2.16 is placed in an insulating briefcase with a fully charged battery, but it does not go into sleep mode, and the battery discharges as if the laptop were in use....
-
How would the analysis of real options change if a company has competitors?
-
In the previous problem, assume that the exercise style on the option is American rather than European. What is the price of the option now? In the previous problem, There is a European put option on...
-
You are in discussions to purchase an option on an office building with a strike price of $63 million. The building is currently valued at $60 million. The option will allow you to purchase the...
-
This project requires an investment in fixed assets, at time 0, of 44,000,000. Assets will be depreciated straight line in 5 years. This project has a 4 year life. The revenues for each of the 4...
-
Lorenzo Company applies overhead to jobs on the basis of direct materials cost. At year - end, the Work in Process Inventory account shows the following. Work in Process Inventory Date Explanation...
-
T-bill with a $10,000 par has 174 days until maturity. The T-bill has a bank discount bid quote of 2.208% and ask quote of 2.198%. What is the return on the investment in this T-bill if the trader...
Study smarter with the SolutionInn App