Imagine you are going to have a project to sell a Massive Machinary you owned. You have invested THB 15,500,000 for the Machine. This machine is expected ot have a life of 7 years. The expected cash flow for the next seven years are as follow; Year 1 - THB 900,000 Year 2 - THB 950,000 Year 3 - THB 1,200,000 Year 4 - THB 2,500,000 Year 5 - THB 2,500,000 Year 6 - THB 3,640,000 Year 7 - THB 5,560,000 Discount Rate is at 7% per year. Please find the Present Value for each year and also the Net Present Value. Then, see if you should accept this project or not? Give me a solid support for your answer

Q: You have been offered the opportunity to invest in a project that will pay$3,509per year at the end…

A: Formula to calculate Future Value of this cash flows patter is as follows:  FV = C1*(1+r)4 +…

Q: (i) Calculate the payback period. Year Cash Flow Cumulative Cash Flow $ Note: Copy the above table…

A: This pertains to capital budgeting. We will use capital budgeting tools to determine the financial…

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A: Amount Invested/Expected annual net cash inflow=Payback (Years)Given,investment amount =…

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A: payback period = years before full period + (unrecovered cost at the start of the year /  cashflow…

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A: Solution:-Internal Rate of Return (IRR) is the rate of return the project is yielding. It can be…

Q: Lynch Pin in Learning is considering investing $411,000 in equipment to expand their operation. They…

A: The capital budgeting tool that is regarded as a payback period is one of the simplest methods that…

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A: Payback period :— It is the time period in years which is required to recover all the cash outflows…

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Q: Could someone figure this out and show me the steps?

A: NPV is a capital budgeting technique that is used to evaluate the viability of a project. The NPV…

Q: Need Help please provide

A: Step 1:a) The NPV is of the purchase of the new machine if you take into account only the…

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A: Cash Flow for year 1 = cf1 = 7000Cash Flow for year 2 = cf2 = 8000Cash Flow for year 3 = cf3 =…

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A: YEAR CASH FLOW X     0 -159965 1 50000 2 50000 3 50000 4 50000 5 50000

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Q: What's the cash flow from changes in net working capital at the end of the project (T5)?

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A: When a payment is done repeatedly at regular intervals it is referred as annuity. Present value of…

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A: Formulas: Payback period = cash out flows / Cash inflows

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A: “Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only…

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