A factory costs $300,000. You forecast that it will produce cash inflows of $90,000 in year 1, $150,000 in year 2, and $240,000 in year 3. The discount rate is 11%. a. What is the value of the factory? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “A factory costs $300,000. You forecast that it will produce cash inflows of $90,000 in year 1, $150,000 in year 2, and $240,000 in year 3. ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Robin is a human resource manager at Techtronic, a software company. She receives a call from an HR manager at another software company asking about Megan, a software engineer who used to work at Techtronic and has applied for a job at the caller's
Answers (2)
You are scheduled to receive annual payments of $3,600 for each of the next 12 years. the discount rate is 8 percent.
Answers (1)
Your entertainment price index (EPI) was computed based on three goods: movie tickets, popcorn, and limeade.
Answers (2)
Elizabeth Proctor sells equipment for $80 000 to Matthew Gamble on 1 July 2013 in exchange for note bearing 12 per cent interest. Prepare a journal entry to record the accrued interest on 30 June 2014, and the repayment on 30 September 2014.
Answers (1)
Dubberly Corporation's cost formula for its manufacturing overhead is $31,100 per month plus $50 per machine-hour.
Answers (1)
New Questions in Business
Macrosoft Company reports net income of $65,000. The accounting records reveal depreciation expense of $80,000 as well as increases in prepaid rent, accounts payable, and income tax payable of $60,000, $12,000, and $18,000, respectively.
No Answers
Hornberger, Inc. recently paid a dividend of $2.00 per share. The next dividend is expected to be $2.05 per share. Hornberger has a return on equity of 11.00%. What percentage of its earnings does Hornberger plow back into the firm?
Answers (1)
A tip of $10 is best for which kind of service? A. a mover who delivers furniture to your new home B. a valet who parks your car at a restaurant C. a waiter at a fast-food restaurant
Answers (2)
Sunland Company manufactures and sells high-priced motorcycles. The Engine Division produces and sells engines to other motorcycle companies and internally to the Production Division.
Answers (1)
Adamson Company manufactures four lines of garden tools. As a result of an activity analysis, the accounting department has identified eight activity cost pools.
Answers (1)