subject
Business, 15.04.2020 19:06 ridzrana02

If you are a financial analyst and is examining a new project. The project is expected to sell 5,900 units per year at $73 net cash flow apiece for the next 10 years. In other words, the annual operating cash flow is projected to be $73 × 5,900 = $430,700. The relevant discount rate is 16 percent, and the initial investment required is $1,700,000. After the first year, the project can be dismantled and sold for $1,530,000. If expected sales are revised based on the first year’s performance, below what level of expected sales would it make sense to abandon the project?A. 4,520
B. 4,550
C. 4,490
D. 4,330

ansver
Answers: 3

Another question on Business

question
Business, 21.06.2019 21:20
Trinity coatings company uses the indirect method to prepare its statement of cash flows. refer to the following information for 2018: the beginning balance in the cash account was $ 3 comma 000. net cash provided by operating activities: $ 42 comma 000 net cash used for investing activities: $(26 comma 500) net cash provided by financing activities: $ 1 comma 700 the statement of cash flows will show
Answers: 2
question
Business, 22.06.2019 01:40
At the local level, the main role of ctsos is to encourage students to become urge them to programs and competitive events. 1. a.interns b.trainees c.members 2. a.participate b.train c.win
Answers: 2
question
Business, 22.06.2019 19:10
After the price floor is instituted, the chairman of productions office buys up any barrels of gosum berries that the producers are not able to sell. with the price floor, the producers sell 300 barrels per month to consumers, but the producers, at this high price floor, produce 700 barrels per month. how much producer surplus is created with the price floor? show your calculations.
Answers: 2
question
Business, 22.06.2019 19:50
Managers in a firm hired to improve the firm's profitability and ultimately the shareholders' value will add to the overall costs if they pursue their own self-interests. what does this best illustrate? a. diseconomies of scale b. principal-agent problem c. experience-curveeffects d. information asymmetries
Answers: 1
You know the right answer?
If you are a financial analyst and is examining a new project. The project is expected to sell 5,900...
Questions
question
Arts, 06.11.2019 04:31