Question

In: Finance

What is the NPV of a project that costs $95,000, provides $36,000 in cash flows annually...

What is the NPV of a project that costs $95,000, provides $36,000 in cash flows annually for 13 years, and requires a $6,000 increase in net working capital? The discount rate is 11%.

Round your answer to the nearest dollar.

Solutions

Expert Solution

jeff jeffy answered 1 year ago
Next > < Previous

Related Solutions

What is the NPV of a project that costs $100,000, provides $21,000 in cash flows annually...
What is the NPV of a project that costs $100,000, provides $21,000 in cash flows annually for six years, requires a $5,000 increase in net working capital which will be recovered later? The discount rate is 14%. -$13,283 -$21,060 - $18,142 $15,561
What is the NPV of a project that costs $200,000, provides $43,000 in after-tax cash flows...
What is the NPV of a project that costs $200,000, provides $43,000 in after-tax cash flows (excluding the CCA tax shield) annually for six years , requires a $5,000 increase in net working capital, and depreciates the asset at 15 percent declining balance over six years and sold at zero salvage value? The discount rate is 14 percent. The tax rate is 40 percent.(Assume the half-year rule applies and working capital is recovered at the end of the project) Select...
What is the NPV of a project that costs $200,000, provides $43,000 in after-tax cash flows...
What is the NPV of a project that costs $200,000, provides $43,000 in after-tax cash flows (excluding the CCA tax shield) annually for six years , requires a $5,000 increase in net working capital, and depreciates the asset at 15 percent declining balance over six years and sold at zero salvage value? The discount rate is 14 percent. The tax rate is 40 percent.(Assume the half-year rule applies and working capital is recovered at the end of the project)
What is the NPV of a project that costs $80,000 today and cash inflows $45,000 annually...
What is the NPV of a project that costs $80,000 today and cash inflows $45,000 annually for three years from today if the opportunity cost of capital is 14?
What is the profitability index of a project that costs $8,000 and provides cash flows of...
What is the profitability index of a project that costs $8,000 and provides cash flows of $2,100 in years 1 and 2 and $4,100 in years 3 and 4? The discount rate is 10%. (Do not round intermediate calculations. Round your answer to 4 decimal places.)
Given the cash-flows in the table, what is the NPV of project A?
1. Project A Year Cash Flow 0 -$107 1 $69 2 $80 3 $120 WACC = 6.19% Given the cash-flows in the table, what is the NPV of project A?   State your answer to the nearest penny. Give just the number with no dollar sign (e.g., 3.26) If the NPV is negative include the - sign (e.g. -4.28) 2. Using the information in the table, what is the IRR for Project A? Cash Flow Year Project A 0 ($175) 1...
What is the NPV of a project that costs $100,000.00 and returns $50,000.00 annually for three...
What is the NPV of a project that costs $100,000.00 and returns $50,000.00 annually for three years if the opportunity cost of capital is 8.22%?
A project that provides annual cash flows of $17,300 for nine years costs $78,000 today. What...
A project that provides annual cash flows of $17,300 for nine years costs $78,000 today. What is the NPV for the project if the required return is 8%? At a required return of 8% should the firm accept this project? What is the NPV for the project if the required return is 20%? At a required return of 20% should the firm accept this project? At what discount rate would you be indifferent between accepting the project and rejecting it? 
A project that provides annual cash flows of $17673 for eight years costs $80339 today. What...
A project that provides annual cash flows of $17673 for eight years costs $80339 today. What is the NPV for the project if the required return is 19 percent? (Negative amount should be indicated by a minus sign. Round your answer to 2 decimal places. (e.g., 32.16))
Calculate the NPV for Project A and accept or reject the project with the cash flows...
Calculate the NPV for Project A and accept or reject the project with the cash flows shown below if the appropriate cost of capital is 7% Project A Time 0 1 2 3 4 5 Cash Flow -990 350 480 500 630 120 2) Calculate the NPV for project L and recommend whether the company should accept or reject the project. Cost of Capital is 6% Project L Time 0 1 2 3 4 5 Cash Flow -         8,600          ...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT