subject
Business, 11.06.2020 16:57 brandonholden

Cash Payback Period, Net Present Value Method, and Analysis Elite Apparel Inc. is considering two investment projects.

The estimated net cash flows from each project are as follows:

Year Plant Expansion Retail Store Expansion

1 $450,000 $500,000

2 450,000 400,000

3 340,000 350,000

4 280,000 250,000

5 180,000 200,000

Total $1,700,000 $1,700,000

Each project requires an investment of $900,000.

A rate of 15% has been selected for the net present value analysis.

Required:

1. Compute the cash payback period for each project.

2. Compute the net present value for each project.

(Round to nearest dollar)

ansver
Answers: 2

Other questions on the subject: Business

image
Business, 21.06.2019 17:40, alyssamiller401
Which of the following is the least risky? collectables stock savings bond savings account
Answers: 2
image
Business, 22.06.2019 06:40, jordenv00
Self-interest achieve society’s economic goals because producers know which goods consumers want the most. as consumers and producers exercise their freedom to act in their own self-interest, markets will produce the desired goods at the lowest possible cost. consumers and producers both operate based on society’s economic goals. consumers know which goods can be produced at the lowest cost. there is a wide variety of desired goods and services in a market system because producers determine what to produce. consumers change their minds frequently. there is always a need to produce something new and improved. individual wants are diverse. what is produced is ultimately determined by consumers, because if the goods offered are not what consumers want, consumers will not buy them. producers, because they are driven by profits. producers, because they determine what to produce. consumers, because they participate in marketing surveys.
Answers: 2
image
Business, 22.06.2019 19:10, XOsam
Coca-cola was primarily known for its core competencies in marketing, bottling, and distributing aerated drinks. however, with the success of gatorade, coca-cola developed competencies in the development and marketing of its own sports drink, powerade. which of the following is true of coca-cola? a. it is leveraging existing core competencies to improve current market position. b. it is building new core competencies to protect and extend its current market position. c. it is redeploying and recombining existing core competencies to compete in markets of the future. d. it is targeting the chasm between the early adopter and early majority market segment.
Answers: 1
image
Business, 22.06.2019 22:30, aaroneduke558
Perry is a freshman, he estimates that the cost of tuition, books, room and board, transportation, and other incidentals will be $30000 this year. he expects these costs to rise about $1500 each year while he is in college. if it will take him 5 years to earn his bs, what is the present cost of his degree at an interest rate of 6%? if he earns and extra $10000 annually for 40 years, what is the present worth of his degree.?
Answers: 3
You know the right answer?
Cash Payback Period, Net Present Value Method, and Analysis Elite Apparel Inc. is considering two i...

Questions in other subjects: