Suppose an H1200 supercomputer has a cost of $ 450,000 and will have a residual market value of $ 135,000 in 6years. The​ risk-free interest rate is 6.3 % APR with monthly compounding.

a. What is the​ risk-free monthly lease rate for a 6-year lease in a perfect​ market?

b. What would be the monthly payment for a 4​-year $ 450,000 ​risk-free loan to purchase the​ H1200? ​

Note: Round the monthly interest rate to at least six decimal places.

A company is considering the purchase of a copier that cost $5,000. Assume a required rate of return of 9% and the following cash flow schedule:
• Year 1: $2,000
• Year 2: $3,000
• Year 3: $1,000

What is the project's NPV?

Organic Farms is considering an investment in a new irrigation system that will cost $65,000 and last for four years. The firm's cost of capital, appropriate for this project, is 8.00% per year. The incremental free cash flows for the irrigation project are as follows:

Compute the NPV for the project. Identify the correct formula used to solve the previous problem.

Compute the IRR for the project.Identify the correct formula used to solve the previous problem.

Blue Star Airlines is considering a three-year charter agreement with Adventure Leisure to transport its tour groups to their vacation destinations. If Blue Star goes ahead with the deal, it would need to invest $20.00 million up front in additional equipment. Blue Star’s estimated cost of capital, appropriate for this project, is 10.00% per year. The project’s free cash flows are estimated as follows:

Blue Star has asked for your help. Compute the NPV of the project. Identify the correct formula used to solve the previous problem

For Plant Physiology.

Explain the following statement: “There is a fitness cost associated with an enhanced defense response.” In your answer you must do the following: A) Provide your opinion about what this statement means to you. B) Include and describe the experimental evidence that supports your opinion.

Question 4

A machine was acquired on January 1, 2015, at a cost of $80,000. The machine was originally estimated to have a residual value of $5,000 and an estimated life of 5 years. The machine is expected to produce a total of 100,000 components during its life, as follows: 15,000 in 2015, 20,000 in 2016, 20,000 in 2017, 30,000 in 2018, and 15,000 in 2019.

Instructions

(a)   Calculate the amount of depreciation to be charged each year, using each of the following methods:

       1.    Straight-line method

       2.    Units-of-production

       3.    Double diminishing-balance

(b)   Which method results in the highest depreciation expense during the first two years? Over all five years?

please answer this in microsoft word

A publisher in a competitive market faces the following cost schedule for publishing a novel by one of its authors: the author is paid a $3,000,000 up-front signing bonus to write the book (it is not refundable). The going market price for a hardcover book is $32 per copy. Where Q is the number of books printed and AVC is the average variable cost of producing books at a given Q.

1. Compute total revenue, total cost and profit at each quantity.
2. Compute marginal revenue. How does marginal revenue compare to price? Explain.
3. Compute marginal cost.
4. Is there a quantity where marginal revenue and marginal cost cross? What does this signify? What is the quantity?
5. What quantity would a competitive profit maximizing publisher choose?
6. If the author were paid $4 million instead of $3 million to write the book, how would this affect the publisher’s decision on what quantity to sell and its profits?

Are there limits to Coase’s joint-cost theory of harm? Is it appropriate to say that laws prohibiting murder “harm” those who would like to commit murders? Can you imagine a circumstance in which the social costs of prohibiting murder might exceed the social costs of not prohibiting murder?

The Collins Corporation purchased office equipment at the beginning of 2019 and capitalized a cost of $2,344,000. This cost included the following expenditures:

The company estimated an eight-year useful life for the equipment. No residual value is anticipated. The double-declining-balance method was used to determine depreciation expense for 2019 and 2020.

In 2021, after the 2020 financial statements were issued, the company decided to switch to the straight-line depreciation method for this equipment. At that time, the company’s controller discovered that the original cost of the equipment incorrectly included one year of annual maintenance charges for the equipment.

Required:
1 & 2. Ignoring income taxes, prepare the appropriate correcting entry for the equipment capitalization error discovered in 2021 and any 2021 journal entries related to the change in depreciation methods. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your final answers to the nearest whole dollar.)

You are evaluating a project that will cost

$497,000​,

but is expected to produce cash flows of

$123,000

per year for

10

​years, with the first cash flow in one year. Your cost of capital is

11.2%

and your​ company's preferred payback period is three years or less.

a. What is the payback period of this​ project?

b. Should you take the project if you want to increase the value of the​ company?

a. What is the payback period of this​ project?

The payback period is

nothing

years.  ​(Round to two decimal​ places.)