Answer:
NPV = (53,222.44)
Explanation:
Net fixed asset 345,000
Working capital
160,000 inventory + 35,000 Ar = 195,000
short term deb (110,000)
net working capital 85,000
Total investment 430,000
salvage value 345,00 x 25% = 86,250
release of the working capital 85,000
Cash flow at end of project 171,250
annual cash flow
sales 550,000
cost (430,000)
depreciation 69,000
EBT 51,000
tax expense 35%
(17,850)
net income 33,150
+ dep 69,000
cash flow 102,150
Now we calculate the present value of the net cash flow and the present alue fothe end of the project
C 102150
time 4
rate 0.15
PV $291,636.04
Principla (sum of salvage and released Working capital 171,250.00
time 5.00
rate 0.15
PV 85,141.52
NPV = 291,636.04 + 85,141.52 - 430,000 = (53,222.44)
PLATO ANSWER: Alternative Goods
Hope this helps! I got it correct also so I know its correct!
Grand Total + Total Bill Subtotal Sales Tax (7.9%)
Total Tip (20%)
Each Pays + Sales tax of 7.9% towards $80.00 is $6.32
A tip of 20% towards $86.32 is $17.26
does this help?
Answer a
The stakeholder in this situation arer as follows =>
1. Scott
2. Managemnet of a Company
3. The Financial Community.
Answer b
Ethical Issues are ;
Loyalty of Scott towards Company and its management.
He should excercise due vigilence while making projections for sales.
Answer c
Possible Actions are
1. Ignore the matter
2. Inform then Boss or Management.
3. Inform the boss and follow the standard procedure
I would have told the management of the error I made if I were in his place, showing my integrity and loyalty to the company without realizing that my integrity might jeopardize my promotion. But being ethical and trustworthy will also benefit me in the long run.