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butalik [34]
3 years ago
10

Required Information

Business
1 answer:
il63 [147K]3 years ago
6 0

Answer:

$1140.28

Explanation:

The computation of the net present value of this investment is shown below:-

= Annual Cash flows × Present Value of Annuity Factor (r , n) - Initial Investment

as

Annual cash flows = $8600

Present Value of Annuity Factor (r , n)

r = 10% and n = 4 years

So, the Present Value of Annuity Factor will be the sum of the present value of 4 years at 10%

For Year 1 = 0.9091

For Year 2 = 0.8264

For Year 3 = 0.7513

For Year 4 = 0.6830

Total = 3.1698

Therefore,

Net Present Value = (Cash inflow × Total) -

Initial Investment

= ($8600 × 3.1698) - $26,120  

= $27,260.28 - $26,120

= $1140.28

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The not unusual function of counter-change preparations is that export income to a particular market is made conditional upon undertakings to simply accept imports from that marketplace. for instance, an exporter can also promote machinery to USA X in a situation where he accepts agricultural merchandise from X for a fee.

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8 0
1 year ago
Miracle Clean's variable costs are $3.00 per bottle and Fixed Expenses are $350,000 per year. The company currently sells 150,00
DerKrebs [107]

Answer:

131,250= number of units

Explanation:

Giving the following information:

<u>We need to calculate the number of units to be sold to maintain a profit of $175,000.</u>

Unitary variable cost= $3

Fixed expenses= $350,000

Selling price= $7

Net income= total contribution margin - fixed cost

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525,000 = number of units*4

525,000 / 4= number of units

131,250= number of units

7 0
3 years ago
The opportunity cost of​ tesla's investment in a new battery factory in nevada is
Alex787 [66]
I believe the answer is: D. <span>what the company considered to be the best-foregone option to the factory.
The creation of new type of battery would cost Tesla a huge amount of capital that would definitely impact the amount of their profit for several operating years. The difference in profit between prior and after new battery would be the opportunity cost that must be taken by Tesla.</span>
5 0
3 years ago
Something you enjoy or want to know more about is a(n) _____.
gtnhenbr [62]
The answer is B. Interest
3 0
3 years ago
Read 2 more answers
Suppose Ford Motor Company issues a five year bond with a face value of $5,000 that pays an annual coupon payment of $150.
blondinia [14]

Answer:

interest rate =  15%

value of the bond will decrease

Explanation:

given data

face value = $5,000

time = 5 year

annual coupon payment = $150

solution

we get here interest rate on the borrowed funds that will be as

interest rate = \frac{annual\ coupon}{face\ value/time}  × 100

put here value we get

interest rate =  \frac{150}{\frac{5000}{5} }  × 100

interest rate =  15%

and

when bond issued at interest rate =  3 %

but market interest rate 4%

so seller will reduce price of bond less than the face value

because we will look for atleast 4% payout when bond matures

so value of the bond will decrease

6 0
3 years ago
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