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
MrMuchimi
3 years ago
15

Morgan Clinical Practice is considering an investment in new imaging equipment that will cost $400,000. The equipment is expecte

d to yield cash inflows of $80,000 per year for a six year period. At the end of the sixth year, the firm expects to recover $150,000 from the sale of the equipment. Morgan set a required rate of return at 10%. What is the net present value of the investment
Business
1 answer:
Ainat [17]3 years ago
8 0

Answer:

$33,091.95

Explanation:

The net present value is the present value of after tax cash flows from an investment less the amount invested.

NPV can be found using a financial calculator:

Cash flow in year 0 = $400,000

Cash flow each year from year 1 to 5 =$80,000

Cash flow in year 6 = $80,000 + $150,000 = $230,000

I = 10%

NPV = $33,091.95

To find the NPV using a financial calacutor:

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

I hope my answer helps you

You might be interested in
Your firm has net income of $312 on total sales of $1,320. Costs are $730 and depreciation is $110. The tax rate is 35 percent.
iren [92.7K]
The answer will be b
8 0
2 years ago
Kimberly is excited about a high-end vacuum cleaner she purchased. She can't wait to show her husband how well the vacuum cleane
lesantik [10]

Answer:

C) affective involvement

Explanation:

Affective or emotional involvement takes place when customers build emotional connections and have deep feelings about a certain product or service.

Kimberly's excitement about her new vacuum cleaner can be better understood as a consequence of her feelings toward her family than what the vacuum cleaner really does. She is excited because she feels she has done something good for her family.

7 0
3 years ago
Windsor, Inc. sells merchandise on account for $3700 to Morton Company with credit terms of 2/10, n/30. Morton Company returns $
IrinaK [193]

Answer:

Dr. Cash                          $2,842

Dr. Discount Expense    $58

Cr. Account Receivable $2,900

Explanation:

Terms 2/10, n/30 means there is a discount of 2% is available on payment of due amount within discount period of 10 days after sale with net credit period of 30 days.

Sales = $3,700

Returns = $800

Amount Due = $3,700 - $800 = $2,900

As the payment is made within discount period, so discount will be availed

Discount = $2,900 x 2% = $58

Cash Paid = $2,900 - $58 = $2,842

7 0
2 years ago
Economies experience sacracity because:
a_sh-v [17]

Scarcity helps people make more informed choices about how to use the resources that are available. The concept of scarcity works in business in the following ways: Scarcity is essential to the study of economics. A fundamental aspect of scarcity is the mismatch between supply and demand.
5 0
3 years ago
You want to respond to it, and also to show ben your response. but you don't want jenny to see that you've sent it to ben
galina1969 [7]
OHHHHHHHHH BLEEEEEEEEEP, fight them
6 0
3 years ago
Other questions:
  • On February 22, Stewart Corporation acquired 12,000 shares of the 400,000 outstanding shares of Edwards Co. common stock at $50
    7·1 answer
  • Pineapple International uses a job order costing system. Pineapple's accounting manager estimated that direct labor would be $2,
    6·1 answer
  • "Which of the following is correct?
    9·1 answer
  • On May 3, 2020, Pina Company consigned 90 freezers, costing $470 each, to Remmers Company. The cost of shipping the freezers amo
    10·1 answer
  • Which of the following statements about the inclusion of boot in a nontaxable exchange is false? Multiple Choice The purpose of
    14·1 answer
  • ​TRUSTe, a nonprofit​ self-regulatory organization, works with other companies to audit online privacy and security measures. It
    10·1 answer
  • 4.37.-On January 1st, Frank bought a used car for $72,000 and agreed to pay it as follows: ¼ down payment; the balance to be pai
    10·1 answer
  • Of the various business-level strategic alliances, __________ alliances have the most probability of creating sustainable compet
    11·1 answer
  • At June 1, 2022, Massoth Industries had an Accounts Receivable balance of $18,000. During the month, the company had credit sale
    14·1 answer
  • 27. The organizational unit that represents the independent legal accounting entity in SAP is the ________.
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!