2. A project has a period of payback as 3 years, with an initial investment of $80,000 Year Cash flows 1 30,000 2 40,000 3 50,000 Find the exact year of payback

Q: Following table shows the initial investment required in and cash flow (return) from a project…

A: Capital Budgeting Techniques are used to choose the most profitable investment alternative. Based on…

Q: Cash Flow Cash Flow Year 0 (A) -$360,000 (B) -$56,000 1 47,000 28,000 2 67,000 24,000 3 67,000…

A: Payback period is the time period required to recover initial investment of the projects and do not…

Q: The following information regarding an investment project is available.   Discount rate 7% Year…

A: The internal rate of return is a capital budgeting technique that helps to determine the…

Q: When evaluating the following project, if the required return is 10 percent, what is its NPV? Year…

A: Capital budgeting: Capital budgeting is a financial technique that is used to evaluate long-term and…

Q: If a project has consecutive cash flows over the next 4 years of $1000, $2000, $3000 and $5,100 and…

A: Cash flow in year 1 is $1000 Cash flow in Year 2 is $2000 Cash flow in Year 3 is $3000 Cash flow in…

Q: Which of the following values comes closest to the payback of a project that requires an initial…

A: here below is the table to find no of years                       year                 cashflows…

Q: Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 -$…

A:

Q: Find the IRR for the following project assuming a WACC of 10%.  Year Cash Flow 0 -20,000 1 8,000 2…

A: YearCash Flows0($20,000)1$8,0002$10,0003$4,0004$5,000Required:Internal Rate of Return=?

Q: Ex6. Calculate NPV from the following information; Investment is $5,000. The life of the project is…

A: Step 1: The calculation of the NPV ABCDEF1YearCashflowPVF @ 4%PVF @ 6.45%PV @ 4%PV @ 6.45%20…

Q: There a project with the following cash flows: Year: 1, 2, 3, 4 Cash Flow: -$21,800 6,300 7,350…

A: Capital budgeting is a financial technique to evaluate a project's liquidity and profitability…

Q: ompute the payback statistic for Project A if the appropriate cost of capital is 7 percent and the…

A: Payback period is the amount of time required to recover initial investment Payback period =Initial…

Q: A project has annual cash flows of €-45,000, €39,000, €18,400 and €8,400. Required: What is the…

A: Payback period is the period required to recover initial amount of investment in the projects under…

Q: The required rate of return is 12%. Find the minimum amount you would have to receive as a cash flow…

A: Net Present Value (NPV) is a financial concept widely used in investment analysis and capital…

Q: If the cost of a project is $50,000 and the cash inflows are as given in the table below, what is…

A: given cost of project =$50000

Q: You've estimated the following cash flows (in $) for a project: A B 1 Year Cash flow The required…

A: IRR, or internal rate of return, is a metric used in financial analysis to estimate the…

Q: Payback period.  What are the payback periods of projects E and​ F? Assume all the cash flow is…

A: Payback period is time required to recover initially investment of PROJECT.

Q: te the payback period.

A: The payback period is the time period in which the total cash flows will be equal to the initial…

Q: Compute the payback statistic for Project A if the appropriate cost of capital is 7 percent and the…

A: Calculation of Payback Period:The payback period is 2.48 years.The project should be Accepted since…

Q: A project has an initial cost of 40,000. The future cash flows are 5,500, 15,200, -3,600, and 32,000…

A: Internal Rate of Return (IRR) is one of the capital budgeting approaches used to assess the…

Q: XYZ is evaluating a project that would last for 3 years. The project's cost of capital is 15.60…

A: The NPV of the project refers to the profitability of the project that is measured by discounting…

Q: You wish to evaluate a project requiring a $59,900 initial investment and having a useful life of…

A: IRR is also known as Internal Rate of Return.. It is a capital budgeting technique which helps in…

Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.