subject
Business, 06.08.2019 16:10 ur4286

Wendell’s donut shoppe is investigating the purchase of a new $18,600 donut-making machine. the new machine would permit the company to reduce the amount of part-time needed, at a cost savings of $3,800 per year. in addition, the new machine would allow the company to produce one new style of donut, resulting in the sale of 1,000 dozen more donuts each year. the company realizes a contribution margin of $1.20 per dozen donuts sold. the new machine would have a six-year useful life. click here to view exhibit 13b-1 and exhibit 13b-2, to determine the appropriate discount factor(s) using tables. required: 1. what would be the total annual cash inflows associated with the new machine for capital budgeting purposes? (round your final answer to the nearest whole dollar amount.) 2. what discount factor should be used to compute the new machine’s internal rate of return? (round your answers to 3 decimal places.) 3. what is the new machine’s internal rate of return? (round your answer to whole decimal place i. e. 0.123 should be considered as 12%.) 4. in addition to the data given previously, assume that the machine will have a $9,125 salvage value at the end of six years. under these conditions, what is the internal rate of return? (hint: you may find it to use the net present value approach; find the discount rate that will cause the net present value to be closest to zero.) (round your answer to whole decimal place i. e. 0.123 should be considered as 12%.)

ansver
Answers: 1

Another question on Business

question
Business, 22.06.2019 05:00
One question from a survey was "how many credit cards do you currently have? " the results of the survey are provided. complete parts (a) through (g) below. click the icon to view the survey results. (a) determine the mean number of credit cards based on the raw data. the mean is 3.113.11 credit cards. (type an integer or a decimal. do not round.) (b) determine the standard deviation number of credit cards based on the raw data. the standard deviation is 1.9111.911 credit cards. (round to three decimal places as needed.) (c) determine a probability distribution for the random variable, x, the number of credit cards issued to an individual. x (# of cards) p(x) x (# of cards) p(x) 1 0.280.28 6 nothing 2 nothing 7 nothing 3 nothing 8 nothing 4 nothing 9 nothing 5 nothing 10 nothing (type integers or decimals. do not round.)
Answers: 2
question
Business, 22.06.2019 16:00
What impact might an economic downturn have on a borrower’s fixed-rate mortgage? a. it might cause a borrower’s payments to go up. b. it might cause a borrower’s payments to go down. c. it has no impact because a fixed-rate mortgage cannot change. d. it has no impact because the economy does not affect interest rates.
Answers: 1
question
Business, 23.06.2019 03:20
Suppose the following items were taken from the 2017 financial statements of whispering winds corp.. (all dollars are in millions.) common stock $3,230 accumulated depreciation—equipment $3,940 prepaid rent 175 accounts payable 1,560 equipment 6,940 patents 2,270 stock investments (long-term) 670 notes payable (long-term) 780 debt investments (short-term) 1,740 retained earnings 6,175 income taxes payable 150 accounts receivable 1,740 cash 1,290 inventory 1,010 prepare a classified balance sheet in good form as of december 31, 2017. (list current assets in order of liquidity.)
Answers: 3
question
Business, 23.06.2019 04:00
The servers at gerry frasier's busy ice cream shop decided that putting more ice cream in the sundaes and cones would bring back more customers. after three months, gerry was surprised to discover that his profit had
Answers: 1
You know the right answer?
Wendell’s donut shoppe is investigating the purchase of a new $18,600 donut-making machine. the new...
Questions
question
World Languages, 20.09.2019 12:30
question
English, 20.09.2019 12:30
question
History, 20.09.2019 12:30
question
Social Studies, 20.09.2019 12:30
Questions on the website: 13722362