An electronic card that is directly connected to a checking account is known as

Determine the net present value for a project that costs $84,500 and would yield after-tax cash flows of $13,000 the first year,

Mekhanik [1.2K]

Answer:

The net present value for the project is $14,680.61.

Explanation:

The net present value (NPV) of a project is the sum of the present values of all the after-tax cash flows minus the cost of the project. This can be calculated as follows:

NPV = (First year after-tax cash flows / (100% + Cost of capital)^1) + (Second year after-tax cash flows / (100% + Cost of capital)^2) + (Third year after-tax cash flows / (100% + Cost of capital)^3) + (Fourth year after-tax cash flows / (100% + Cost of capital)^4) + (Fifth year after-tax cash flows / (100% + Cost of capital)^5) + (Sixth year after-tax cash flows / (100% + Cost of capital)^6) - Project cost

NPV = ($13,000 / (100% + 5.00%)^1) + ($15,000/ (100% + 5.00%)^2) + ($18,000 / (100% + 5.00%)^3) + ($20,000 / (100% + 5.00%)^4) + ($24,000 / (100% + 5.00%)^5) + ($30,000 / (100% + 5.00%)^6) - $84,500

NPV = $14,680.61

Therefore, the net present value for the project is $14,680.61.

6 0

3 years ago

Need help asap!!!! pls

kap26 [50]

Answer:

I'm pretty sure it b, and if it's not I am so srry

6 0

3 years ago

* What items make an Water based stain?

kumpel [21]

Answer:

rust + vinegar = silver gray to black; chewing tobacco + ammonia + water = brown; walnut husks

Explanation:

4 0

3 years ago

Mark runs a small manufacturing business. Which statement hints at the fact that Mark is a transformational leader?

Zolol [24]

The answer would be A because the key word is manufacturing and that means Mark is building something he visioned. So, the business he started although small inspired enough people to work for what he envision. B, C, and D are wrong because it does not hint or say in the question about any of those answer choices.

3 0

4 years ago

Read 2 more answers

Beleaguered State Bank (BSB) holds $500 million in deposits and maintains a reserve ratio of 20 percent. Complete the following

leonid [27]

Answer:

1. See part 1 of the attached excel file for the T-account.

2. See part 2 of the attached excel file for the T-account.

3. Because BSB is cutting back on its loans, other banks will find they have lower reserves, causing them to reduce their loans. Which of the following ways represent an alternative for BSB to return to its original reserve ratio? Check all that apply.

4. The correct options are b. Borrow money from another bank and d. Attract additional deposits.

Explanation:

1. Beleaguered State Bank (BSB) holds $500 million in deposits and maintains a reserve ratio of 20 percent. Complete the following T-account for BSB.

Note: See part 1 of the attached excel file for the T-account.

In the attached excel, the following calculations are made:

Reserves = $500 million * 20% = $100 million

Loans = $500 - $100 = $400

2. Now suppose that BSB's largest depositor withdraws $25 million in cash from her account. BSB decides to restore its reserve ratio by reducing the amount of loans outstanding.

Note: See part 2 of the attached excel file for the T-account.

In the attached excel, the following calculations are made:

Deposits = $500 million - $25 million = $475 million

Reserves = $475 million * 20% = $95 million

Loans = $475 - $95 = $380

3. Because BSB is cutting back on its loans, other banks will find they have lower reserves, causing them to reduce their loans. Which of the following ways represent an alternative for BSB to return to its original reserve ratio? Check all that apply.

4. Which of the following ways represent an alternative for BSB to return to its original reserve ratio? Check all that apply.

The correct options are b. Borrow money from another bank and d. Attract additional deposits.

Download xlsx

4 0

3 years ago