subject
Business, 18.06.2020 01:57 wildfox479

Water City is considering purchasing a water park in​ Atlanta, Georgia, for $ 1 comma 820 comma 000. The new facility will generate annual net cash inflows of $ 472 comma 000 for eight years. Engineers estimate that the facility will remain useful for eight years and have no residual value. The company uses​ straight-line depreciation, and its stockholders demand an annual return of 12​% on investments of this nature. Requirements
a. Compute the payback, the ARR, the NPV, the IRR, and the profitability index of this investment.
b. Recommend whether the company should invest in this project.

ansver
Answers: 1

Another question on Business

question
Business, 22.06.2019 12:20
Alarge university wanted to study the relationship between completing an internship during college and students' future earning potential. prom the same graduating class, they selected a random sample of 80 students who completed an internship and 100 students who did not complete an internship and examined their salaries five years after graduation. they found that there was a statistically higher mean salary for the internship group than for the noninternship group. which of the following interpretations is the most appropriate? a. there could be a confounding variable, such as student major, that explains the difference in mean salary between the internship and no internship groups.b. we cannot infer anything from these data since the distribution of salaries is likely right skewed.c. you cannot draw any valid conclusions because the sample sizes are different.d. more students should complete internships because having an internship produces a higher salary.
Answers: 1
question
Business, 22.06.2019 15:40
Acompany manufactures x units of product a and y units of product b, on two machines, i and ii. it has been determined that the company will realize a profit of $3 on each unit of product a and $4 on each unit of product b. to manufacture a unit of product a requires 7 min on machine i and 5 min on machine ii. to manufacture a unit of product b requires 8 min on mchine i and 5 min on machine ii. there are 175 min available on machine i and 125 min available on machine ii in each work shift. how many units of a product should be produced in each shift to maximize the company's profit p?
Answers: 2
question
Business, 23.06.2019 10:00
Governments sometimes erect barriers to trade other than tariffs and quotas. which of the following is not an example of this type of trade barrier? a. a requirement that the employees of domestic firms that engage in foreign trade pay income taxes b. restrictions on imports for national security reasons c. a requirement that imports meet health and safety requirements d. a requirement that the u.s. government buy military uniforms only from u.s. manufacturers
Answers: 2
question
Business, 23.06.2019 10:30
Dan mcclure is trying to decide on how many copies of a book to purchase at the start of the upcoming selling season for his bookstore. the book retails at $28.00. the publisher sells the book to dan for $20.00. dan will dispose of all the unsold copies of the book at 75 percent off the retail price, at the end of the season. dan estimates that demand for this book during the season is normal with a mean of 100 and a standard deviation of 42. a. how many books should dan order to maximize his expected profit? b. given the order quantity in part a, what is dan's expected profit? c. the publisher's variable cost per book is $7.50. given the order quantity in part a, what is the publisher's expected profit?
Answers: 1
You know the right answer?
Water City is considering purchasing a water park in​ Atlanta, Georgia, for $ 1 comma 820 comma 00...
Questions
question
Chemistry, 26.08.2021 20:30
question
Mathematics, 26.08.2021 20:30
Questions on the website: 13722367