Kingbird Company is considering two capital investment proposals. Estimates regarding each project are provided below: Project Soup Project Nuts Initial investment $400000 $600000 Annual net income 50000 66000 Net annual cash inflow 126000 157000 Estimated useful life 5 years 6 years Salvage value 0 0 The company requires a 10% rate of return on all new investments. Present Value of an Annuity of 1 Periods 9% 10% 11% 12% 5 3.89 3.791 3.696 3.605 6 4.486 4.355 4.231 4.111 The annual rate of return for Project Soup is O 31.5%, O 12.5%. O 25%. O 63%.

Fenton, Inc., has established a new strategic plan that calls for new capital investment. The company has a 9.8% required rate of return and an 8.3% cost of capital. Fenton currently has a return of 10% on its other investments. The proposed new investments have equal annual cash inflows expected. Management used a screening procedure of calculating a payback period for potential investments and annual cash flows, and the IRR for the 7 possible investments are displayed in image. Each investment has a 6-year expected useful life and no salvage value. A. Identify which project(s) is/are unacceptable and briefly state the conceptual justification as to why each of your choices is unacceptable. B. Assume Fenton has $330,000 available to spend. Which remaining projects should Fenton invest in and in what order? C. If Fenton was not limited to a spending amount, should they invest in all of the projects given the company is evaluated using return on investment?

The Billy Joe Company has a choice of two different investments that it can make today. The alternatives are: What is the Internal Rate of Return for each of the two investments?

Consider two competing projects, for which MARR = 12%: Initial Equivalent Investment, P Annuity, A $100000 $23000 $100000 $35000 Project Project A Project B Duration 9 years 4 years ROR i* % 17.7% 15% According to the RoR method, Project A is preferable. However, the company will be able to reinvest the future cash flows at rate 25%, compounded annually. Is Project A still preferable?

Boomerang Bungee Corp. is considering the following project. Determine the equal annual annuity for the project if the cost of capital is 14%. Initial Investment: $75,000   Year Cash Inflows 1 $30,000 2 $35,000 3 $40,000   a. $2,259.62 b. $4,355.25 c. $7,768.67 d. $5,527.89

Subject- account

Please show complete steps all parts or skip it

Please help me with show all calculation thanku

Delta Gamma Inc. is considering two investment projects, each of which requires an up-front expenditure (investment) of $50 million. The opportunity cost of capital is 10% for each project, and the investments will produce the following cash flows (in millions of dollars).Year  Project Delta   Project Gamma1       $5m                    $30m2       $10m                  $25m3       $20m                  $10m4       $50m                  $5m(a) What is the payback period for each project?(a) What is the NPV for each project?(b) What is the IRR for each project (Hint: You may use =IRR function in excel)?(c) If the projects are independent and the cost of capital is 10%, which project orprojects should the firm undertake?(d) If the projects are now mutually exclusive and the cost of capital is 5%, whichproject or projects should the firm undertake? Why?(e) If the projects are mutually exclusive and the cost of capital is 15%, which projector projects should the firm undertake? Why?

Moates Corporation has provided the following data concerning an investment project that it is considering: Initial investment $ 200,000   Annual cash flow  $ 123,000 per year Expected life of the project 4 years Discount rate 10%     Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using the tables provided. The net present value of the project is closest to: (Round your intermediate calculations and final answer to the nearest whole dollar amount.)