Answer:
$-13,975.91
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 in year 0 = $-95,000
Cash flow in year 1 = $30,000
Cash flow each year from 2 to 5 = $20,000
I = 12%
NPV = $-13,975.91
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
Hello,
Once every 10 years, the Census Bureau does a comprehensive survey of housing and residential finance.
Hope this helps! :)
Answer:
A) if the present value of the expected income stream associated with the investment is greater than the full cost of the investment project.
Explanation:
It is when the present value of the expected income stream associated with the investment is greater than the full cost of the investment project that the project is profitable. Most investments are undertaken with the aim of making profits.
The net present value can be used to determine if the present value of the expected income stream associated with the investment would be greater than the full cost of the investment project.
Answer:
57.5%
Explanation:
Data Provided:
Total Sales = $ 200,000
The net income = $ 100,000
Depreciation = $ 20,000
Interest = $ 10,000
Taxes = $ 5,000
Now,
the operating profit is the from the income before the taxes and interest. Thus,
the interest and taxes will be included in the net income for the operating profit
therefore,
The operating profit = income + Interest + Taxes
or
The operating profit = $ 100,000 + $ 10,000 + $ 5,000 = $ 115,000
Now,
the operating profit margin = ( Operating profit / Sales ) × 100
or
= ( $ 115,000 / $200,000 ) × 100 = 57.5%
