subject
Business, 09.12.2021 15:50 erinharrington15

Ford Motor Company is considering producing a new extremely limited-edition version of the Edsel (why, we have no idea!). The initial costs associated with retooling a manufacturing plant, redesign, initial marketing, raw materials and other costs would be $7 million at time zero. The project is expected to generate ONLY ONE positive cash flow of $16 million. Given the complexity of the project, the cars will not be ready until 6 years from now. Ford estimates that shareholders will require to earn 19% on investments such as this. What comes closest to the IRR on this project

ansver
Answers: 1

Another question on Business

question
Business, 22.06.2019 17:50
Abc factory produces 24,000 units. the cost sheet gives the following information: direct materials rs. 1,20,000direct labour rs. 84,000variable overheads rs. 48,000semi variable overheads rs. 28,000fixed overheads rs. 80,000total cost rs. 3,60,000presently the product is sold at rs. 20 per unit.the management proposes to increase the production by 3,000 units for sales in the foreign market . it is estimated that semi variable overheads will increase by rs. 1,000. but the product will be sold at rs. 14 per unit in the foreign market. however, no additional capital expenditure will be incurredq-1. what is present profit of the company ? q-2. what is proposed profit of the company in new market? q-3.what is suggestion for new makret proposal whether proposal accept or not
Answers: 1
question
Business, 22.06.2019 20:20
Tl & co. is following a related-linked diversification strategy, and soar inc. is following a related-constrained diversification strategy. how do the two firms differ from each other? a. soar inc. generates 70 percent of its revenues from its primary business, while tl & co. generates only 10 percent of its revenues from its primary business. b. soar inc. pursues a backward diversification strategy, while tl & co. pursues a forward diversification strategy. c. tl & co. will share fewer common competencies and resources between its various businesses when compared to soar inc. d. tl & co. pursues a differentiation strategy, and soar inc. pursues a cost-leadership strategy, to gain a competitive advantage.
Answers: 3
question
Business, 23.06.2019 07:50
Tubby toys estimates that its new line of rubber ducks will generate sales of $7.60 million, operating costs of $4.60 million, and a depreciation expense of $1.60 million. if the tax rate is 35%, what is the firm’s operating cash flow? (enter your answer in millions rounded to 2 decimal places.)
Answers: 1
question
Business, 23.06.2019 12:50
Delux technology has a reputation of reliability and a winning customer service, qualities that to build this highly respected name brand over the last 15 years. speaking at a recent business conference, steve, the ceo of delux, told his audience, "we have built our reputation by changing little over the last several years, but consistently customers with great, caring service and a reliable product." which type of strategy does delux technology use? a.) growth strategy b.) defensive strategy c.) retrenchment strategy d.) merger approach e.) stability strategy
Answers: 1
You know the right answer?
Ford Motor Company is considering producing a new extremely limited-edition version of the Edsel (wh...
Questions
question
Mathematics, 10.03.2021 23:30
question
Mathematics, 10.03.2021 23:30
question
History, 10.03.2021 23:30
question
Mathematics, 10.03.2021 23:30
question
Mathematics, 10.03.2021 23:30
question
Mathematics, 10.03.2021 23:30
question
Biology, 10.03.2021 23:30