Question: Consider the folowing cash flow statement. The required Velds are calculated. Calculate the present value of the cash flow if the interest rate is 155

 Consider the folowing cash flow statement. The required Velds are calculated.

Consider the folowing cash flow statement. The required Velds are calculated. Calculate the present value of the cash flow if the interest rate is 155 0 1 2 3 4 3 Revenues Unit Price 50 50 50 50 50 Demand (unit) 2000 2000 2000 2000 2000 Sales revenue 100000 100000 100000 100000 100000 Expenses Unit variable cost 15 15 15 15 15 Variable cost 30000 30000 30000 30000 30000 Fixed cost 10000 10000 10000 10000 10000 Depreciation 17853 30613 21863 15613 5575 Taxable income 42137 29387 38137 1438 5425 Income taxes (40%) 16855 1175 15255 17755 21770 Net Income 25262 17632 2282 26632 Depreciation 17863 S0613 21803 15613 5575 Investment activities Investment - 125000 Working capital 50000 50000 Salvage 40000 Gains tax -2611 Net cash flow 3655 Select one 0 120000 Ob 100000 c. 130410 d. 108506 O e. 211090 O I. 022

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!