Homework Help is Here – Start Your Trial Now!
Business
Economics
201 11. Determine the IRR for an equipment that costs $250,000 and would provide positive cash of each year for the next four flows of $100,000, $90,000, $80,000, and $20,000 at the end years.

201 11. Determine the IRR for an equipment that costs $250,000 and would provide positive cash of each year for the next four flows of $100,000, $90,000, $80,000, and $20,000 at the end years.

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
See similar textbooks
icon
Related questions
Question
11. Without excel
a 246 A/P, S/.2.0.5378 A/F₁s/12=6.4378 Option is bewer 0.5373 0.481 EVAC - 2800-4500 (4,5/12) + 500 (15/12)=423.30$ 11. Determine the IRR for an equipment that costs $250,000 and would provide positive cash flows of $100,000, $90,000, $80,000, and $20,000 at the end of each year for the next four years. ai elasts Wor) yniau atvin 0975 12. Pam promises to pay Sandy $4,000 in year 4 and another $6,000 in year 8 for a loan of $4,000 from Sandy today. What is the ROR that Sandy is getting? Assume interest is compounded monthly. 4x1248 month to&&*12-96 month 4,000 = 4,000,1,48) + 6000 (11,94) 4,000 = 4,000/114114²6,000/1.1" AM A 3%
Transcribed Image Text:a 246 A/P, S/.2.0.5378 A/F₁s/12=6.4378 Option is bewer 0.5373 0.481 EVAC - 2800-4500 (4,5/12) + 500 (15/12)=423.30$ 11. Determine the IRR for an equipment that costs $250,000 and would provide positive cash flows of $100,000, $90,000, $80,000, and $20,000 at the end of each year for the next four years. ai elasts Wor) yniau atvin 0975 12. Pam promises to pay Sandy $4,000 in year 4 and another $6,000 in year 8 for a loan of $4,000 from Sandy today. What is the ROR that Sandy is getting? Assume interest is compounded monthly. 4x1248 month to&&*12-96 month 4,000 = 4,000,1,48) + 6000 (11,94) 4,000 = 4,000/114114²6,000/1.1" AM A 3%
Alt. B $3,750 1,000 6 Alt. A Alt. B Initial cost $1,700 $2,100 Benefit/year 1,000 1,000 2 Life in years 3 vi bor i ident 10. Choose the best alternative among the three alternatives given in the table below. Use of annual cash flow analysis is required. Alt B A B C CEVAC = 700-1900 (53) + 9001 513): 287.805 Initial cost $4500 $1900 $1200 002. Annual benefit $2800 $700 $300 АНС CHE M Salvage value $500 $900 0 EOAC-300-1200 (-0³) - $240 VIDE Life in years MARR 2 years 3 Years Infinity 5% A A/P, S/.2.0.537 Option is A/F₁s/12=6.4378 0.5373 0.4812 EUAC=2800-4500 (4,5/12) + 500 (15/12)=423.805 046X1218 11. Determine the IRR for an equipment that costs $250,000 and would provide positive cash flows of $100,000, $90,000, $80,000, and $20,000 at the end of each year for the next four years. Leidsm Worluniau 12. Pam promises to pay Sandy $4,000 in year 4 and another $6,000 in year 8 for a loan of $4,000 from Sandy today. What is the ROR that Sandy is getting? Assume interest is compounded monthly. 4x12=48 month 4,000=4,000,48) + 6000 (₁94) &&*12-96month 4,000 = 4,000/114114-6,000/(1+1" 6,000/4000 - LA 1)^2 6/4-A²-+ 2AZ-ZA-0 A=0.012872 110 ساط
Transcribed Image Text:Alt. B $3,750 1,000 6 Alt. A Alt. B Initial cost $1,700 $2,100 Benefit/year 1,000 1,000 2 Life in years 3 vi bor i ident 10. Choose the best alternative among the three alternatives given in the table below. Use of annual cash flow analysis is required. Alt B A B C CEVAC = 700-1900 (53) + 9001 513): 287.805 Initial cost $4500 $1900 $1200 002. Annual benefit $2800 $700 $300 АНС CHE M Salvage value $500 $900 0 EOAC-300-1200 (-0³) - $240 VIDE Life in years MARR 2 years 3 Years Infinity 5% A A/P, S/.2.0.537 Option is A/F₁s/12=6.4378 0.5373 0.4812 EUAC=2800-4500 (4,5/12) + 500 (15/12)=423.805 046X1218 11. Determine the IRR for an equipment that costs $250,000 and would provide positive cash flows of $100,000, $90,000, $80,000, and $20,000 at the end of each year for the next four years. Leidsm Worluniau 12. Pam promises to pay Sandy $4,000 in year 4 and another $6,000 in year 8 for a loan of $4,000 from Sandy today. What is the ROR that Sandy is getting? Assume interest is compounded monthly. 4x12=48 month 4,000=4,000,48) + 6000 (₁94) &&*12-96month 4,000 = 4,000/114114-6,000/(1+1" 6,000/4000 - LA 1)^2 6/4-A²-+ 2AZ-ZA-0 A=0.012872 110 ساط
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Sales
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
Economics
ISBN:
9780190931919
Author:
NEWNAN
Publisher:
Oxford University Press
Principles of Economics (12th Edition)
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
Engineering Economy (17th Edition)
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
Principles of Economics (MindTap Course List)
Principles of Economics (MindTap Course List)
Economics
ISBN:
9781305585126
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Managerial Economics: A Problem Solving Approach
Managerial Economics: A Problem Solving Approach
Economics
ISBN:
9781337106665
Author:
Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:
Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-…
Managerial Economics & Business Strategy (Mcgraw-…
Economics
ISBN:
9781259290619
Author:
Michael Baye, Jeff Prince
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS