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The following proforma shows unleveraged cash flows for a property if an investor were to purchase it today and resell it at the end of the third year: (Show answer in Excel) What is the present value of the each of the discounted cash flows from Year 1, Year 2, and Year 3, using a discount rate of 8.75% (hint: calculate each on separately)? What is the Net Present Value of this investment?

The following data pertain to an investment proposal (ignore income taxes. Cost of the investment Annual cost savings. Estimated salvage value Life of the project Discount rate $ 42,000 $ 12,000 $ 4,000 5 years 11% Click here to view Exhibit 148-1 and Exhibit 148-2 to determine the appropriate discount factor(s) using the tables provided. The net present value of the proposed investment is closest to Note: Round your intermediate calculations and final answer to the nearest whole dollar amount. Multiple Choice O O $2.352 $4,724 $2.372 $26,000

Required information [The following information applies to the questions displayed below.] Metro Car Washes, Inc. is reviewing an investment proposal. The initial cost as well as the estimate of the book value of the investment at the end of each year, the net after-tax cash flows for each year, and the net income for each year are presented in the following schedule. The salvage value of the investment at the end of each year is equal to its book value. There would be no salvage value at the end of the investment's life. Year 0 1 2 3 4 5 Initial Cost and Book Value $345,000 230,000 138,000 69,000 23,000 0 Annual Net After-Tax Cash Flows $162,000 141,000 120,000 99,000 78,000 Annual Net Income $47,000 49,000 51,000 53,000 55,000 Management uses a 14 percent after-tax target rate of return for new investment proposals. Use Appendix A for your reference. (Use appropriate factor(s) from the tables provided.) Required: 1. Compute the project's payback period. Assume that the cash flows in…

An equipment cost P60,000 today and its salvage value is P20,000 after 6 years . Calculate its depreciation at year 1 with 3.83% interest rate.Use Sinking Fund Method   NOTE: Please Solve and explain! and indicate your final answer!

carl's Earthmoving is considering the purchase of a piece of heavy equipment. What is the cash flow diagram if the following cash flows are anticipated? First Cost = $120,000; O&M =30,000 per year; Overhaul cost =$35,000 in year 3; Salvage Value = $40,000 after 5 years.

Vikram Bhai