1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
defon
2 years ago
9

Parks Corporation is considering an investment proposal in which a working capital investment of $10,000 would be required. The

investment would provide cash inflows of $2,000 per year for six years. The working capital would be released for use elsewhere when the project is completed. If the company's discount rate is 10%, the investment's net present value is closest to (Ignore income taxes.): Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using the tables provided.
Business
1 answer:
Virty [35]2 years ago
5 0

Answer:

$4,355.26  

Explanation:

The net present value is the present value of future cash flows expected from the project minus the initial investment outlay

initial investment outlay=working capital investment = -$10,000

Years 1-5 cash inflow=$2,000

Year 6 cash inflow=normal cash inflows+release of working capital

Year 6 cash inflow=$2,000+$10,000=$12,000

the present value of a future cash flow=cash flow/(1+r)^n

n is 1 for year cash inflow 2 for year 2 cash inflow, 3 for year 3 cash inflow and so on

NPV=-$10,000+$2,000/(1+10%)^1+$2,000/(1+10%)^2+$2,000/(1+10%)^3+$2,000/(1+10%)^4+$2,000/(1+10%)^5+$12,000/(1+10%)^6

NPV=$4,355.26  

You might be interested in
_____ is a marketing research technique that involves introducing a new product in a specific area and then measuring its degree
padilas [110]
Test marketing, the consumers don’t even know it’s being tested
8 0
3 years ago
managers are the managers concerned with implementing the plans policies of top managers and supervising low level managers
Kazeer [188]

Answer:

Their responsibilities are influenced by top managers; however, their responsibilities are ... In order to do this, they must implement subunit strategies for achieving those objectives. ... They are concerned with intermediate range plan ... Managers at this level train and supervise the performance of nonmanagerial employees

7 0
3 years ago
Young children are permitted to work in the manufacturing of soccer balls in Pakistan, but this would not be legal in the United
e-lub [12.9K]

Answer:

no jodas

Explanation:

6 0
3 years ago
Inattentive Driving. While cutting class and driving off campus to check on her new dress for the upcoming formal, Molly, a busy
nataly862011 [7]

Answer:

C: Civil law and private law only

Explanation:

This won't be part of Public law as it generally works on the relationship between civilians and the government. However, in such a case, the matter can be sought privately, between molly and the owner of the car she damaged.

Obviously,. due to state laws in place that prohibit using a cell phone while driving this might also become a civil law situation.

4 0
3 years ago
National accounting identities Let C stand for consumption spending, I for investment, G for government purchases, X for exports
madreJ [45]

Answer:

A. National income must equal domestic product.

True.

Explanation:

National Income is the total value of goods and services produced in a country during a financial period. It is total income from a country's economic activities.

Domestic product is monetary value of all economic activities of a country during a period.

National Income is sum of Investments, Savings, Government expenditures and net exports. National Income equals the domestic products of a country. The equation is as follows:

C + I + G + (X - IM) = DI + NT.

The statement given is true. Disposable income equals the saving plus consumption. The excess of disposable income which is not consumed is saved.  Sum of saving and consumption must equal Disposable income in an economy.

4 0
3 years ago
Other questions:
  • DEF Corporation had two issues of ordinary preferred stock with a $100 par value traded on the NYSE. One issue paid $5.56 annual
    13·1 answer
  • Zoom call anyone<br> im bored
    13·1 answer
  • The best description of a strong leader is someone who?
    12·2 answers
  • As the contestant with the longest winning streak in the history of Jeopardy, Ken Jennings won more than $2.5 million. Suppose h
    8·2 answers
  • Imagine that you have saved $1,000. You would like to do something with the money so that, in a few years, you have a down payme
    7·1 answer
  • The following list includes selected permanent accounts and all of the temporary accounts from the December 31, 2017, unadjusted
    14·1 answer
  • A company factored $40,000 of its accounts receivable and was charged a 3% factoring fee. The journal entry to record this trans
    5·1 answer
  • Which of the following statements is correct? The journal entry to record bad debt expense requires a debit to bad debt expense
    7·1 answer
  • Suppose you had information on the sales of similar homes just east and just west of the boundary between two school districts.
    6·1 answer
  • Accountants include ________ costs as part of a firm's costs, while economists include ________ costs. Group of answer choices i
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!