Answer:
5.98 years
Explanation:
The computation of the payback period is shown below:
In year 0 = -$1,530,000
In year 1 = $305,000
In year 2 = $270,000
In year 3 = $240,000
In year 4 = $240,000
In year 5 = $240,000
In year 6 = $240,000
In year 7 = $240,000
In year 8 = $240,000
In year 9 = $240,000
In year 10 = $240,000
If we added the first 5 year cash inflows than it would be $1,295,000
Now we have to subtract the $1,295,000 from the $1,530,000 , so the amount would be $235,000 as if we sum the six year cash inflow so the total amount is exceeded to the initial investment. So, we subtract it
And, the next year cash inflow is $240,000
So, the payback period equal to
= 5 years + $235,000 ÷ $240,000
= 5.98 years
Answer:
can someone answer my question
Explanation:
tysm
Answer:
Who Benefits From Inflation? ... In other words, inflation can provide businesses with pricing power and increase their profit margins. If profit margins are rising, it means the prices that companies charge for their products are increasing at a faster rate than increases in production costs.
Explanation:
Answer:
$114,193.55
Explanation:
The calculation of value of the firm is shown below:-
Value of the firm = (((EBIT × (1 - Tax)) ÷ Cost of capital) + (Debt × Tax)
=((($17,100 × (1 - 21%)) ÷ 12.4%) + ($25,000 × 21%)
= ((($17,100 × (0.79)) ÷ 12.4%) + ($25,000 × 21%)
= ($13,509 ÷ 12.4%) + ($25,000 × 21%)
= $108,943.55 + $5,250
= $114,193.55
So, for computing the value of the firm we simply applied the above formula.