$-9.48
Explanation:
Net present value is the present value of after-tax cash flows from an investment less the amount invested.
NPV can be calculated using a financial calculator
Cash flow = (revenue - cost - depreciation) (1 - tax rate) + depreciation
Straight line depreciation expense = (Cost of asset - Salvage value) / useful life
(400 - 0) / 5 = 80
(200 - 90- 80) x (1 - 0.32) + 80 = $100.40
Cash flow in year 0 = $-400
Cash flow each year from year 1 to 5 = $100.40
I = 9%
NPV = $-9.48
To find the NPV using a financial calculator:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.
3. Press compute
Answer:
Shareholder
Explanation:
A person or business that’s is a partial owner of a company
<u>Answer:</u> C. Management
<u>Explanation:</u>
In order to achieve the goals and objectives of the organization the management has to follow the process of planning, directing, and controlling an organization's financial, physical, human, and information resources. Planning is the way of organizing things to achieve desired goals. Guidance and motivation of the employees is essential for meeting goals
Monitoring and evaluating the tasks is necessary action by the management to control the activities of the firm and direct them in the right path.
A <u>bond</u> represents a long-term debt obligation issued by a corporation or a government.
Debt obligation method a responsibility to make a repayment of cash to any other man or woman, inclusive of debts payable and the responsibilities springing up beneath promissory notes, payments of trade, and bonds;
A collateralized debt responsibility is a sort of based asset-backed safety. at the beginning advanced as contraptions for the company debt markets but after 2002 CDOs have become cars for refinancing mortgage-backed securities.
Month-to-month Debt obligations approach a purchaser's housing charges, along with month-to-month rent or mortgage fee, and required payments below any debt obligations (which includes the patron's month-to-month charge below the mortgage and insurance for the vehicle to be acquired under the mortgage).
Learn more about debt obligation here: brainly.com/question/24157864
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Answer:
The new cost of capital if this firm changes capital structure is 1.3
Explanation:
From the provided information:
All equity beta = 1
New D/E ratio = 0.5
Then, the new capital structure with levered beta is given by:
new capital structure = All equity beta *(1 + D/E*(1 - tax rate))
= 1*(1 + 0.5*(1 - 40%))
= 1.3
Therefore, The new cost of capital if this firm changes capital structure is 1.3
