why is the real interest rate higher in an open eocnomy, compared to the interest rate in a closed economy?
In: Economics
Please compare the Open-End versus Closed-End Mutual Funds (250 words limit)
In: Finance
How do closing entries simplify recordkeeping? Give an example of an adjusting entry that could is closed. :) .
In: Accounting
Moore Media is considering some new equipment whose data are
shown below. The equipment has a 3-year tax life and would be fully
depreciated (to zero net book value) by the straight-line method
over 3 years, but it would have a positive pre-tax salvage value at
the end of Year 3, when the project would be closed down. Also,
additional net operating working capital would be required, but it
would be recovered at the end of the project's life. Revenues and
other operating costs are expected to be constant over the
project's 3-year life. What is the project's NPV?
Do not round the intermediate calculations and round the final
answer to the nearest whole number.
|
WACC |
10.0% |
|
Net investment in fixed assets (depreciable basis) |
$70,000 |
|
Required net operating working capital |
$10,000 |
|
Straight-line depreciation rate |
33.333% |
|
Annual sales revenues |
$57,000 |
|
Annual operating costs (excl. depreciation) |
$30,000 |
|
Expected pre-tax salvage value |
$5,000 |
|
Tax rate |
35.0% |
In: Finance
Moore Media is considering some new equipment whose data are
shown below. The equipment has a 3-year tax life and would be fully
depreciated (to zero net book value) by the straight-line method
over 3 years, but it would have a positive pre-tax salvage value at
the end of Year 3, when the project would be closed down. Also,
additional net operating working capital would be required, but it
would be recovered at the end of the project's life. Revenues and
other operating costs are expected to be constant over the
project's 3-year life. What is the project's NPV?
Do not round the intermediate calculations and round the final
answer to the nearest whole number.
|
WACC |
10.0% |
|
Net investment in fixed assets (depreciable basis) |
$70,000 |
|
Required net operating working capital |
$10,000 |
|
Straight-line depreciation rate |
33.333% |
|
Annual sales revenues |
$57,000 |
|
Annual operating costs (excl. depreciation) |
$30,000 |
|
Expected pre-tax salvage value |
$5,000 |
|
Tax rate |
35.0% |
In: Finance
Moore Media is considering some new equipment whose data are
shown below. The equipment has a 3-year tax life and would be fully
depreciated (to zero net book value) by the straight-line method
over 3 years, but it would have a positive pre-tax salvage value at
the end of Year 3, when the project would be closed down. Also,
additional net operating working capital would be required, but it
would be recovered at the end of the project's life. Revenues and
other operating costs are expected to be constant over the
project's 3-year life. What is the project's NPV?
Do not round the intermediate calculations and round the final
answer to the nearest whole number.
|
WACC |
10.0% |
|
Net investment in fixed assets (depreciable basis) |
$70,000 |
|
Required net operating working capital |
$10,000 |
|
Straight-line depreciation rate |
33.333% |
|
Annual sales revenues |
$57,000 |
|
Annual operating costs (excl. depreciation) |
$30,000 |
|
Expected pre-tax salvage value |
$5,000 |
|
Tax rate |
35.0% |
In: Finance
|
This does not provide depreciation rate, but use MACRS. I am looking for excel formula please to solve. Thank you! Thomson Media is considering investing in some new equipment whose data are shown below. The equipment has a 3-year class life and will be depreciated by the MACRS depreciation system, and it will have a positive pre-tax salvage value at the end of Year 3, when the project will be closed down. Also, some new working capital will be required, but it will be recovered at the end of the project's life. Revenues and cash operating costs are expected to be constant over the project's 3-year life. What is the project's NPV? Enter your answer rounded to two decimal places. Do not enter $ or comma in the answer box. For example, if your answer is $12,300.456 then enter as 12300.46 in the answer box. |
||||||||||||||
|
WACC |
14.0% |
|||||||||||||
|
Net investment in fixed assets (depreciable basis) |
$60,000 |
|||||||||||||
|
Required new working capital |
$10,000 |
|||||||||||||
|
Sales revenues, each year |
$75,000 |
|||||||||||||
|
Operating costs excl. depr'n, each year |
$30,000 |
|||||||||||||
|
Expected pretax salvage value |
$7,000 |
|||||||||||||
|
Tax rate |
35.0% |
|||||||||||||
In: Accounting
Thomson Media is considering some new equipment whose data are shown below. The equipment has a 3-year tax life and would be fully depreciated by the straight-line method over 3 years, but it would have a positive pre-tax salvage value at the end of Year 3, when the project would be closed down. Also, additional net operating working capital would be required, but it would be recovered at the end of the project's life. Revenues and other operating costs are expected to be constant over the project's 3-year life. What is the project's NPV? Do not round the intermediate calculations and round the final answer to the nearest whole number. WACC 10.0% Net investment in fixed assets (depreciable basis) $70,000 Required net operating working capital $10,000 Straight-line depreciation rate 33.333% Annual sales revenues $57,000 Annual operating costs (excl. depreciation) $30,000 Expected pre-tax salvage value $5,000 Tax rate 35.0% a. $-7,371 b. $-7,005 c. $–6,092 d. $-6,518 e. $-6,213
In: Finance
In: Finance
______1. Reports use which of these approaches:
A. the direct approach
B. the indirect approach
C. a combination of the direct and indirect approaches.
D. none of the above
______2. An analytical report
A. describes what occurred during a convention or conference.
B. gives a concise overview of a situation, publication, or document.
C. breaks down a problem or situation into components and recommends
solutions.
D. offers structured persuasion for internal or external audiences.
______3. In a particular set of figures, the number that occurs most often is called the
A. mean.
B. median.
C. mode.
D. correlation.
______4. In designing a survey, planners must remember to
A. use leading questions.
B. keep the survey short, 10-15 minutes at most.
C. use descriptors like “often” and “frequently.”
D. construct compound questions.
______5. Open-ended questions differ from closed questions in that they
A. lack predetermined answers.
B. have a fixed range of possible answers.
C. divide a problem into a series of smaller questions to identify cause and
effect.
D. depend upon the results expected from a survey.
In: Operations Management