subject
Business, 12.08.2020 19:01 jeanlucceltrick09

The Matterhorn Corporation is trying to choose between the following two mutually exclusive design projects: Year Cash Flow (I) Cash Flow (II)
0 –$87,000 –$55,000
1 36,900 11,700
2 47,000 34,500
3 27,000 28,500
Requirement 1:
(a) If the required return is 10 percent, what is the profitability index for each project? (Do not round intermediate calculations). Round your answers to 3 decimal places.
(b) If the required return is 10 percent and the company applies the profitability index decision rule, which project should the firm accept?
Requirement 2:
(a) If the required return is 10 percent, what is the NPV for each project? (Do not round intermediate calculations. Round your answers to 2 decimal places .

ansver
Answers: 3

Other questions on the subject: Business

image
Business, 22.06.2019 17:00, kiahbryant12
Zeta corporation is a manufacturer of sports caps, which require soft fabric. the standards for each cap allow 2.00 yards of soft fabric, at a cost of $2.00 per yard. during the month of january, the company purchased 25,000 yards of soft fabric at $2.10 per yard, to produce 12,000 caps. what is zeta corporation's materials price variance for the month of january?
Answers: 2
image
Business, 22.06.2019 23:00, shifaxoxoxo
What is the purpose of the us international trade association?
Answers: 2
image
Business, 23.06.2019 02:50, kevinh2683
Expert computers was started in 2018. the company experienced the following accounting events during its first year of operation: started business when it acquired $40,000 cash from the issue of common stock. purchased merchandise with a list price of $32,000 on account, terms 2/10, n/30. paid off one-half of the accounts payable balance within the discount period. sold merchandise on account for $28,000. credit terms were 1/20, n/30. the merchandise had cost expert computers $16,000. collected cash from the account receivable within the discount period. paid $2,100 cash for operating expenses. paid the balance due on accounts payable. the payment was not made within the discount period. required record the events in a horizontal statements model below. in the cash flows column, use the letters oa to designate operating activity, ia for investing activity, fa for financing activity, or nc for net change in cash. if the account is not affected by the event, leave the cell blank. the first event is recorded as an example. what is the amount of gross margin for the period? what is the net income for the period?
Answers: 1
image
Business, 23.06.2019 17:30, mconcepcionmilp7rfkn
Copan italia is a distributor of laboratory products and manufacturer of laboratory commodities, including transfer pipettes and flexible hematology cups used on a variety of automatic instruments to count blood corpuscle elements. copan's says that the company's business is to continually work to improve the quality of the collection and preservation of the microbiological sample in the "pre-analytical phase," as the demand for better protection of the specimen is growing day by day.
Answers: 2
You know the right answer?
The Matterhorn Corporation is trying to choose between the following two mutually exclusive design p...

Questions in other subjects:

Konu
Mathematics, 23.03.2021 22:10