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Question: What factors/circumstances/conditions could prevent
the world from operating as described in the Median Voter
Theorem?
Can someone please explain the edgeworth box in a good way?
Please since some people cant even write on this website please do
write it in a way that normal people can read.
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Can someone please answer this question. Please, list all steps!
thanks!
Machines A and B are
mutually exclusive and are expected to produce the following real
cash flows:
Cash Flows ($ thousands)
Machine
C0
C1
C2
C3
A
–102
+112
+123
B
–122
+112
+123
+135
The real opportunity
cost of capital is 12%.
a.
Calculate the NPV of each machine. (Do not round
intermediate calculations. Enter your answers in dollars not in
thousands, e.g....
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steps! Thanks!
You have the chance to participate in a project that produces
the following cash flows: Cash Flows ($) C0 C1 C2 3,900 5,100
–10,900
a. The internal rate of return is 14.13%. If the opportunity
cost of capital is 14%, what is the NPV of the project? (A negative
answer should be indicated by a minus sign. Do not round
intermediate calculations. Round your answer to 2 decimal...
Hi all,
Can someone please
answer this question. Please list all steps! Thanks!
Consider the following
projects:
Cash Flows ($)
Project
C0
C1
D
–10,300
20,600
E
–20,300
35,525
Assume that the
projects are mutually exclusive and that the opportunity cost of
capital is 9%.
a.
Calculate the profitability index for each project. (Do not
round intermediate calculations. Round your answers to 2 decimal
places.)
Project
Profitability
Index
D
E
b-1.
Calculate the profitability-index using the incremental cash flows.
(Do...
Hi all,
Can someone please
answer this question. Please list steps! Thanks!
Consider the following
cash flows:
Cash Flows ($)
C0
C1
C2
−8,450
6,200
21,400
a.
Calculate the net present value of the above project for discount
rates of 0, 50, and 100%. (Do not round intermediate
calculations. Round your answers to the nearest whole dollar
amount.)
NPV @ 0%
$
NPV @ 50%
$
NPV @100%
$
b.
What is the IRR of the project? (Do not round...
Can someone please advise how to solve this problem
step-by-step on a calculator? Thanks!
Option to wait. Your company is deciding
whether to invest in a new machine. The new machine will increase
cash flow by $435,000 per year. You believe the new technology used
in the machine has a 10 year life. Obsolete 10 years from today.
Machine is currently priced at 2.8 Million. Cost of machine will
decline $215,000 per year until it reaches $2.155 million, where it...
Hi all,
Can someone please answer this question. Please, list all steps.
Thanks!
Mr. Art Deco will be
paid $150,000 one year hence. This is a nominal flow, which he
discounts at a nominal discount rate of 8%.
PV = $150,000 / (1 +
.08) = $138,889
The inflation rate is
5%.
Calculate the PV of
Mr. Deco’s payment using the equivalent real cash flow and
real discount rate. (You should get exactly the same
answer as he did.)...