Shimada Products Corporation of Japan plans to introduce a new electronic component to the market at a target selling price of $15 per unit. The company is investing $11,880,000 to purchase the equipment it needs to produce and sell 396,000 units per year. Its required rate of return on all investments is 12%. Required: Compute the component's target cost per unit. Note: Round your answer to 2 decimal places. Target cost per unit
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- Gardner Denver Company is considering the purchase of a new piece of factory equipment that will cost $420,000 and will generate $95,000 per year for 5 years. Calculate the IRR for this piece of equipment. For further Instructions on internal rate of return in Excel, see Appendix C.Shimada Products Corporation of Japan plans to introduce a new electronic component to the market at a target selling price of $15 per unit. The company is investing $7,380,000 to purchase the equipment it needs to produce and sell 492,000 units per year. Its required rate of return on all investments is 12%. Required: Compute the component's target cost per unit. (Round your answer to 2 decimal places.) Target cost per unitShimada Products Corporation of Japan plans to introduce a new electronic component to the market at a target selling price of $15 per unit. The company is investing $7,380,000 to purchase the equipment it needs to produce and sell 492,000 units per year. Its required rate of return on all investments is 12%, Required: Compute the component's target cost per unit. (Round your answer to 2 decimal places.) ok Tarpet cost per unit
- Shimada Products Corporation of Japan plans to introduce a new electronic component to the market at a target selling price of $15 per unit. The company is investing $5,280,000 to purchase the equipment it needs to produce and sell 528,000 units per year. Its required rate of return on all investments is 12%. Required: Compute the component’s target cost per unitA manufacturing company is considerign the purchase of new machinery to increase its production capacity. The company has identified a new machine that costs $500,000 and is expected to increase production by 20%. The company expects to sell the additional products for $600,000, resulting in a net profit of $100,000. The company can finance the purchase through a bank loan with an interest rate of 5% over a five year term. What is the expected return on investment (ROI) for the purchase of the new machinery 5% 10% 20% 25%albot Industries is considering launching a new product. The new manufacturing equipment will cost $18 million, and production and sales will require an initial $5 million investment in net operating working capital. The company's tax rate is 25%. Enter your answers as a positive values. Enter your answers in millions. For example, an answer of $10,550,000 should be entered as 10.55. Round your answers to two decimal places. What is the initial investment outlay? $ million The company spent and expensed $150,000 on research related to the new project last year. What is the initial investment outlay? $ million Rather than build a new manufacturing facility, the company plans to install the equipment in a building it owns but is not now using. The building could be sold for $1.8 million after taxes and real estate commissions. What is the initial investment outlay? $ million
- A manufacturing company is considering the purchase of new machinery to increase its production capacity. The company has identified a new machine that costs $500,000 and is expected to increase production by 20%. The company expects to sell the additional products for $600,000, resulting in a net profit of $100,000. The company can finance the purchase through a bank loan with an interest rate of 5% over a five-year term. What is the expected return on investment (ROI) for the purchase of the new machinery?Elearning Company would like to develop its technology process by purchasing a production equipment for 11.2 million HUF. The equipment is expected to have a useful life of 5 years, and will be sold at the end of 5 years for 2.5 million HUF. The annual operating costs are predicted to be 1.5 million HUF. The estimated revenues are in yearly sequence ( HUF) 5.2 million; 5.5 million; 6.1million; 7 million; 7.5 million. The company's required rate of return is 12 percent. You can see the way of the economic efficiency calculation in the table. Some of the data are missing. Enter the missing data in the table. Perform further calculations and explain the results obtained. Data Year O Year 1 Year 2 Year 3 Year 4 Year 5 Pt (M HUF) 5.2 5.5 6.1 7 kt (M HUF) 1.5 1.5 1.5 1.5 1.5 Et (M HUF) 11.2 CFt (M HUF) -11.2 3.7 4 4.6 5.5 8.5 Dt 1 0.89286 0.79719 0.63552 0.56743 CFt*Dt (M HUF) -11.20 3.30 3.19 3.27 4.82 ECF**Dt (M HUF) -11.20 -7.90 -4.71 -1.43 2.06 The NPV of the project is million HUF.Talbot Industries is considering launching a new product. The new manufacturing equipment will cost $12 million, and production and sales will require an initial $1 million investment in net operating working capital. The company's tax rate is 25%. Enter your answers as a positive values. Enter your answers in millions. For example, an answer of $10,550,000 should be entered as 10.55. Round your answers to two decimal places. What is the initial investment outlay? $ million The company spent and expensed $150,000 on research related to the new project last year. What is the initial investment outlay? $ million Rather than build a new manufacturing facility, the company plans to install the equipment in a building it owns but is not now using. The building could be sold for $1.9 million after taxes and real estate commissions. What is the initial investment outlay? $ million.
- K Transcontinental Pipelines is considering a technical process that is expected to reduce annual maintenance costs by $75,000. What is the maximum amount of money that could be invested in the process to be economically feasible if interest is 3.8% compounded monthly? The the maximum amount of money that could be invested is $ (Round the final answer to the nearest dollar as needed. Round all intermediate values to six decimal places as needed.)Acme Company plans to replace some obsolete equipment with new equipment that costs $232,000 and has a useful life of 16 years and a salvage value of $40,000. Acme expects that the new equipment will reduce operating costs (labor, energy, etc.) by $59,000 per year. Acme can sell the old equipment for $20,000. What is the simple rate of return on the investment in the new equipment? Round to one decimal place. 23.9% 21.6% 20.5% 22.2%Oriole Corporation is considering adding a new product line. The cost of the factory and equipment to produce this product is $1,700,000. Company management expects net cash flows from the sale of this product to be $630,000 in each of the next eight years. If Oriole uses a discount rate of 11 percent for projects like this, what is the net present value of this project? (Round intermediate calculations to 5 decimal places, e.g. 0.42354. Round answer to O decimal places, e.g. 52.25. Enter negative amounts using negative sign e.g. -45.25.) NPV $ 36695.55 What is the internal rate of return? (Round answer to 2 decimal places, e.g. 52.50.) Internal rate of return %