Q8. Required informationA new advertising campaign by a company that manufactures products that apply biometric, surveillance, andsatellite technologies resulted in the cash flows shown.Year Cash Flow, $100001 120020002 -400034-30002000Calculate the unique external rate of return values using the ROIC method with an investment rate of 30% per year.The external rate of return using the ROIC method is %.

MIRR stands for Modified Internal Rate of Return. It is a financial metric used to evaluate the…

Q8. Required information A new advertising campaign by a company that manufactures products that apply biometric, surveillance, and satellite technologies resulted in the cash flows shown. Year Cash Flow, $1000 0 1 2 3 4 2000 1200 -4000 -3000 2000 Calculate the unique external rate of return values using the ROIC method with an investment rate of 30% per year. The external rate of return using the ROIC method is %.

Q8. Required information A new advertising campaign by a company that manufactures products that apply biometric, surveillance, and satellite technologies resulted in the cash flows shown. Year Cash Flow, $1000 0 1 2 3 4 2000 1200 -4000 -3000 2000 Calculate the unique external rate of return values using the ROIC method with an investment rate of 30% per year. The external rate of return using the ROIC method is %.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

The General Hospital is evaluating new office equipment offered by four companies. The useful life of the equipment is 5 years. First cost Maintenance and operating cost (annual) Annual benefit Salvage value Company A Company B Company C Company D $15,000 $18,000 $25,000 $20,000 1,600 1,100 30 55 20 40 7500 3,000 9,000 3,500 400 13,000 6,000 The internal rate of return for Company A is close to (%) 900 11,000 4,500
An investment resulted in the following cash flow. What is the rate of return? Year Cash Flow -$700 1 $100 2 $175 3 $250 4 $325 O 7% 6% 6.5% 7.5%
m mmm. m Given the cash flows in table below, determine the rate of return. Year Cash Flow 0 $10K 1 $0 2 $5K 3 $0 4 $10K Group of answer choices Cannot determine 100% 8.91% 7.6% 4.9% 11.2% Flag question: Question 8
ENGINEERING ECONOMICS 2. A local firm is establishing a sinking fund for the purpose of accumulating a sufficient capital to retire its outstanding bonds at maturity. The bonds are redeemable in 10 years and their maturity value is P150000. How much should be deposited each year if the fund pays interest at the rate of 3%? Draw a cash flow
4. A rate of return analysis was conducted for the following alternatives, based on the table below. G -20,000 -30,000 -50,000 -80,000 Investment Amount, $ i* ROR, % Revenue, $ 20 35 25 20 10,500 12,500 16,000 4,000 E vs. Machines Compared DN F vs. E G vs F H vs F Ai* Incremental Analysis, 20 65 10 11 a) If the proposals are independent, which should be selected when the MARR is 20% per year. b) If the proposals are mutually exclusive, which should be selected when the MARR is 16% per year. c) If the proposals are mutually exclusive, which should be selected when the MARR is 11% per year. d) Based on the top two i* values, a selection must be made based on the MARR of 12% per year To receive full credit, for part a- d ensure you indicate for each incremental step why they are being eliminated &/or selected.
What is the capitalized cost of a mechanical equipment costing Php 4.5 M and having a 25-yr life. The annual maintenance of Php 30,000 and repair cost of Php 200,000. at 5-yr interval. Rate of interest is 10%.
Give proper answer without photo answer and take a like
A firm urgently needs a large printer and will either lease a printer at an end-of-year cost of $ 5000 for a 6 year period, or they will purchase the printer at an initial cost of $60,000. If purchased, the printer will have a zero salvage value at the end of 6-years life. No other costs are to be considered. MARR is 5%. What is the best investment decision on the basis of the internal rate of return. a. IRR could not be calculated due to no change in cashflow sign b. Negative IRR is not justified and is not applied here to make a proper decision c. Lease d. Buy
the rate of return n (year) 0 1 2 For the investment project with cash flow transaction given in the Table, compute i= Table Project(S) -4,000 2,500 1,000 4000 ܘܘܪܙܐ 11,000 2
From August 22, 2011 to February 22, 2012, determine the exact simple interest of the principal Php5000.00 Niel invested for 8%.
A cutting-edge product of Continental Fan had the following net cash flow series during its first 5-year period on the market. Find all rate of return values between 0% and 100%. (Round the final answer to three decimal places.) Year 0 1 2 3 45 5 The rate of return is %. Net Cash Flow, $ -54,000 37,000 29,000 10,000 -5,000 13,000
Pleasee solve with clear explantion so I can understand, engineering econ