I am required to let my supervisor and human resources know if my license or certification lapses

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

The greater the number of persons affected by a negative outcome, the more likely it is that marketers will recognize a problem

Talja [164]

The correct answer to the statement is TRUE.The greater the number of persons affected by a negative outcome, the more likely it is that marketers will recognize a problem as unethical. This is true as far as the number of negative outcome that affects the people.

6 0

3 years ago

Mideast Airlines purchased a 777 aircraft on January 1, 2020 at a cost of

iren [92.7K]

Answer:

3,400,000 accumulated depreciation, 36,600,000 book value

Explanation:

Cost - salvage = amount to be depreciated

40,000,000-6,000,000=34,000,000 amount to be deprecated

34,000,000/20 years =1,700,000 depreciation per year

1,700,000x2-3,400,000 accumulated depreciation after 2 years

40,000,000-3,400,000=36,600,000 book value

8 0

3 years ago

What does an exchange rate tell you?

MrRa [10]

When you ask me about exchage rate I remember about Arabic coming to Africa for trading goods. So this tells me that the the value of one currence from deferent nations was converted to another. I hope you got it.

8 0

3 years ago

Read 2 more answers

A company recently issued 9% preferred stock. The preferred stock sold for $40 a share with a par of $20. The cost of issuing th

Westkost [7]

Answer:

The company's cost of preferred stock is 5.1%

Explanation:

In order to find the cost of the preferred stock we will need to divide the dividend the company pays on it by the net amount that the company is receiving for selling it.

In order to find the dividend we will multiply 9% by the par value of 20

Dividend = 0.09*20=1.8

Now we need to find the net amount the company receives for selling the preferred stock.

The company sells the stock for $40 but also has a issuing cost of $5, so in order to find the net amount we will subtract the cost from the price.

40-5= 35

35 is the net amount the company receives.

Now we will divide the the dividend 1.8 by the net amount 35

1.8/35=0.051

=5.1%

The company's cost of preferred stock is 5.1%

5 0

3 years ago