Ranking Investment Proposals: Payback Period, Accounting Rate of Return, and Net Present ValuePresented is information pertaining to the cash flows of three mutually exclusive investment proposals:Proposal Proposal ProposalInitial investmentCash flow from operationsABс$100,000 $100,000 $100,000Year 1Year 2Year 3DisinvestmentLife (years)60,000 25,000110,00040,00040,00035,00070,0000003 years3 years1 yearRank these investment proposals using the payback period, the accounting rate of return on initial investment, and the net present value criteria. Assume that the organization's cost of capital is 12% and that all investments are in depreciable assets.Note: Follow rounding instructions noted for each computation. Use a negative sign with your answers, when appropriate.Payback period (years); Round answers 2 decimal places.Accounting rate of return; Round answers to 4 decimal places.Net present value; Round answers to nearest whole number. $Proposal A1.5 x0.45 xProposal B2.5 ▾Proposal C Best proposal10,398 * $0.45 x4,039 * $1 x C1.1 x C(1,786) ▼ Aא

Question 1.PAYBACK PERIOD. The term payback period refers to the amount of time it takes to recover…

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Glencoe Physics: Principles and Problems, Student Edition

1st Edition

ISBN:9780078807213

Author:Paul W. Zitzewitz

Publisher:Paul W. Zitzewitz

Chapter1: A Physics Toolkit

Section: Chapter Questions

Problem 72A

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Similar questions

Roughly how many floating-point operations can a supercomputer perform in a human lifetime?
A floating-point operation is a single arithmetic operation such as addition, subtraction, multiplication, division. (a) Estimate the maximum number of floating- point operations a human being could possibly perform in a lifetime. (b) How long would it take a supercomputer to perform that many floating-point operations?
Must a complex system be adaptive to be of interest in the field of complexity? Give an example to support your answer.
A house is advertised as having 1 420 square feet under roof. What is the area of this house in square meters? (Sec Section 1.5.)
Assume it takes 7.00 min to fill a 30.0-gal gasoline tank. (a) Calculate the rate at which the tank is filled in gallons per second. (b) Calculate the rate at which the tank is filled in cubic meters per second. (c) Determine the time interval, in hours, required to fill a 1.00-m3 volume at the same rate. (1 U.S. gal = 231 in.3)
The first atomic bomb was detonated on July 16, 1945, at the Trinity test site about 200 mi south of Los Alamos. In 1947, the U.S. government declassified a film reel of the explosion. From this film reel, British physicist G.I. Taylor was able to determine the rate at which the radius of the fireball from the blast grew. Using dimensional analysis, he was then able to deduce the amount of energy released in the explosion, which was a closely guarded secret at the time. Because of this, Taylor did not publish his results until 1950. This problem challenges you to recreate this famous calculation. (a) Using keen physical insight developed from years of experience, Taylor decided the radius rof the fireball should depend only on time since the explosion, t, the density of the air, , and the energy of the initial explosion, E. Thus, he made the educated guess that r=kEabtcfor some dimensionless constant kand some unknown exponents a,b, and c. Given that [E]=ML2T-2 , determine the values of the exponents necessary to make this equation dimensionally consistent. (Hint: Notice the equation implies that k=rEabtcand that [k]=1 ). (b) By analyzing data from high-energy conventional explosives, Taylor found the formula he derived seemed to be valid as long as the constant khad the value 1.03. From the film reel, he was able to determine many values of rand the corresponding values of t. For example, he found that after 25.0 ms, the fireball had a radius of 130.0 m. Use these values, along with an average air density of 1.25kg/m3 , to calculate the initial energy release of the Trinity detonation in joules (J). (Hint: To get energy in joules, you need to make sure all the numbers you substitute in are expressed in terms of SI base units.) (c) The energy released in large explosions is often cited in units of “tons of TNT” (abbreviated “t TNT”), where 1 t TNT is about 4.2 GJ. Convert yow answer to (b) into kilotons of TNT (that is, kt TNT). Compare your answer with the quick-and-duty estimate of 10 kt TNT made by physicist Enrico Fermi shortly after witnessing the explosion from what was thought to be a safe distance. (Reportedly, Fermi made his estimate by dropping some shredded bits of paper right before the remnants of the shock wave hit him and looked to see how far they were carried by it.)
Check Your Understanding A high school track coach has just purchased a new stopwatch. The stopwatch manual states the stopwatch has an uncertainty of ±0.05 s. Runners on the track coach’s learn regularly clock 100-rn sprints of 11.49 s to 15.01 s. At the school’s last track meet, the first-place sprinter came in at 12.04 s and the second-place sprinter came in a 12.07 s. Will the coach’s new stopwatch be helpful in timing the sprint team? Why or why not?
(Indicates a review question, which means it requires only a basic understanding of the material to answer. Questions without this designation typically require integrating or extending the concepts presented thus far.) Two rectangular rugs are on display in a showroom. If one rug is twice as long as the other, does this necessarily mean that its area is also twice as large as that of the second? Explain.
Check Your Understanding Figure 1.4 says the mass of the atmosphere is 1019kg . Assuming the density of the atmosphere is 1kg/m3 , estimate the height of Earth’s atmosphere. Do you think your answer is an underestimate or an overestimate? Explain why. How many piano tuners are there in New York City? How many leaves are on that tree? If you are studying photosynthesis or thinking of writing a smartphone app tot piano tuners, then the answers to these questions might be of great interest to you. Otherwise, you probably couldn’t care less what the answers are. However, these are exactly the soils of estimation problems that people in various tech industries have been asking potential employees to evaluate their quantitative reasoning skills. If building physical intuition and evaluating quantitative claims do not seem like sufficient reasons tot you to practice estimation problems, how about the fact that being good at them just might land you a high-paying job? For practice estimating relative lengths, areas, and volumes, check out this PhET (https://openstaxcollege.org/l/21lengthgame) simulation, titled “Estimation.”
Roughly how many heartbeats are there in a lifetime?
Calculate the approximate number of atoms in a bacterium. Assume the average mass of an atom in the bacterium is 10 times the mass of a proton.
What are three common ways to save electricity to reduce electric bills?

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