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madam [21]
3 years ago
8

Levi's Levees always evaluates projects using the payback method. What is the payback period for the following set of cash flows

? (Round your answer to 2 decimal places, e.g., 32.16.) Year Cash Flow 0 –$ 4,900 1 1,150 2 1,350 3 2,230 4 1,250
Business
1 answer:
Ray Of Light [21]3 years ago
7 0

Answer:

3.14 years

Explanation:

Year              Cash flow                Accumulated cash flows

0                    -$4,900                            -$4,900

1                       $1,150                             -$3,750

2                      $1,350                            -$2,400  

3                     $2,230                                -$170

4                     $1,250                              $1,080

3 years + $170/$1,250 = 3.14

The payback period is 3.14 years, or 3 years, 1 month and 19 days.

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stiks02 [169]

Answer:

landlord´s responsibilities:

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tenant's responsibilities: (besides paying the rent)

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8 0
3 years ago
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vladimir2022 [97]

Answer:

The answer is:

* Expected return on the market: 2.74%

* Risk-free rate: 11.45%

Explanation:

Denote Rm is expected return on the market and Rf is risk-free rate. We have:

* For stock Pete: 14.5% = Rf + 1.35 x ( Rm - Rf) and

* For stock Repete: 11.8% = Rf + 1.04 x (Rm-Rf)

From the two equations above, we have: 0.31 * (Rm- Rf) = 2.7% <=> Rm - Rf = 8.71%;

So we have: 14.5% = Rf + 1.35 * 8.71% <=> Rf = 2.74%;

=> Rm = 2.7% + Rf = 8.71% + 2.74% = 11.45%.

So, Rf = 2.74%; Rm = 11.45%.

3 0
3 years ago
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Answer:

True

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Answer:

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