Find the capitalized cost for the following cash flows occurring over an infinite number of periods, where A, B and C aredefined as below. A $40 B = $20 C = $60 Assume the interest rate is 6%. Group of answer choices $660.38 $58.92$39.62 $743.86

Capitalized cost = Sum of all present valuesPV = Cash Flow /Interest Rate Present value of each…

Answered: Find the capitalized cost for the…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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The capitalized cost (CC) of the given project whose Cash Flow diagram is given below is closest to: j= 12% per year 1 3 6 7 8 9 10 11 A= $2,000 A= $5,000 PO=$50,000 Capitalized Cost= ? $-83,754 O $-78,145 O $-75,895 $-85,500 $-80,852
If mutually exclusive projects with normal cash flows are being analyzed, the net present value (NPV) and internal rate of return (IRR) methods always agree. Projects Y and Z are mutually exclusive projects. Their cash flows and NPV profiles are shown as follows. Year Project Y Project Z 0 -$1,500 -$1,500 1 $200 $900 2 $400 $600 3 $600 $300 4 $1,000 $200 NPV (Dollars) 800 600 Project Y 400 Project Z 200 -200 0246 8 10 12 14 16 18 20 COST OF CAPITAL (Percent) If the weighted average cost of capital (WACC) for each project is 14%, do the NPV and IRR methods agree or conflict? O The methods agree. O The methods conflict.
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please answer all with complete solution and draw the cash flow diagram,,, thank you....
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Find the capitalized cost for the following cash flows occurring over an infinite number of periods, where A, B and C are defined as below. A $40 B = $20 C = $60 Assume the interest rate is 6%. Group of answer choices $660.38 $58.92 $39.62 $743.86