Question: A commitment on the project requires an initial outlay of $10 000.00 and a further outlay of $5000.00 after 2 years. Net returns are $5

A commitment on the project requires an initial outlay of $10 000.00 and a further outlay of $5000.00 after 2 years. Net returns are $5 000.00 per year for 6 years. What is the net present value of the project at 16%? $3715.81 $13715.81 $18400.12 $4707.87 -3715.81

A commitment on the project requires an initial outlay of $10000.00 and a further outlay of $5000.00 after 2 years. Net returns are $5000.00 per year for 6 years. What is the net present value of the project at 16% ? $3715.81 $13715.81 $18400.12 $4707.87 3715.81

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Old MathJax webview 2 parts please show steps please answer these 2 I've got the answer of 6th 6. A commitment on the project requires an initial outlay of $10 000.00 and a further outlay of $5000.00...

A commitment on the project requires an initial outlay of $10 000.00 and a further outlay of $5000.00 after one year. Net returns are $5 000.00 per year for five years. What is the net present value...

1. 2. 3. Pinder Ltd is considering an investment into a project which it intends to operate for 5 years. The project requires an initial outlay of $6 million. The project will generate cash sales of...

Question 1 1 ( 2 points ) You accepted a website development project requires an initial outlay of $ 9 0 0 0 . 0 0 and a further outlay of $ 5 0 0 0 . 0 0 after 1 year. Net returns are expected to be...

A project requires an initial outlay of $10 000 and promises net returns of $2000 per year over a 12-year period. If the project has a residual value of $4000 after 12 years, what is the rate of...

2 parts please show your work a 5. An investment project requires an initial expenditure of $160 000.00 with a salvage value of $30 000.00 after ten years. It is estimated that it will have annual...

6. Different stakeholders possess different powers and interests. How should stakeholders with high interest and high power be treated? A. Keep them informed about all major happenings B. Devote...

Hello, May you please help me find the answers for these homework questions? Thanks! Collins Company had the following cost data available. The Collins accountant believes that direct labor hours is...

financial mathematics Question 1 An investor is considering whether to invest in either or both of the following loans: Loan A: For a purchase price of NS 10000, the investor will receive N\$ 1000...

Your Sydney HQ is developing a new marketing team with team members located in New York, Beijing and Mumbai. This will necessitate the establishment of a virtual team spread over four different time...

NZ Bank issues 90 day commercial paper in the US market with a face value of USD25 million at 1.75% p.a. They use an FX swap to hedge their FX exposure. (For the U.S. use a 360-day year but assume...

Based on the Days Sales Outstanding and Days Sales Outstanding Trends reports provided by your team, which of the following statements about TechWears DSO ratios is true?Group of answer...

You should only enter th company's name once on the model. True or False

(Appendices) How is this affected by business policies concerning prices and credit sales? LO2

(Appendices) Compare the Original Medicare Plan with Medicare Advantage Plans with respect to each of the following: LO5 a. Choice of plan coverage b. Benefits provided by the plan c. Need for a...

(Appendices) Forrest, age 23, was honorably discharged from the U.S. Marine Corps after four years, which included two tours of duty in Iraq. He was severely wounded when his platoon engaged in a...