Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. jasper metals is considering installing a new mold

Jasper Metals is considering installing a new molding machine which is expected to produce operating...

50.1K

Verified Solution

Question

Finance

image
Jasper Metals is considering installing a new molding machine which is expected to produce operating cash flows of $64.000 per year for 8 years. At the beginning of the project, inventory will decrease by $23,200, accounts receivables will increase by $24, 600, and accounts payable will increase by $17,700. At the end of the project, net working capital will return to thelevel it was prior to undertaking the new project. The initial cost of the molding machine is $276.000. The equipment will be depreciated straight line to a zero book value over the line of the project. The equipment will be salvaged at the end of the project creating an aftertax cash flow of $66,000 What is the net present value of this project gven a required retum of 10.9 percent

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Starting with the graph of f(x) = 3?, write the equation of the graph that...

Geometry
Q

Discuss the impact on a family when a middle generation parent is caring for a child...

Psychology
Q

answering the questions below 35 54 90 Triangle NYE angles of a triangle and the...

Geometry
Q

Statement of stockholders equity The revenues and expenses of Paradise Travel Service for the year...

Basic Math
Q

Calculate the sample proportion of weekdays that this person was below the recommended daily 2000...

Statistics
Q

Let g be the function given by g x x At what value of x...

Calculus
Q

Find an equation of the curve that passes through the point 0 6 and whose...

Calculus
Q

Foblem 5 Determine which of the following series converge 8T 5 2 4n n 1...

Calculus
Q

Dividends per share Oceanic Company has 20,000 shares of cumulative preferred 2% stock, $150...

Accounting
Q

On January 2, 20X7, Victory Co. acquired 60% of the shares of Sauce Ltd. by...

Accounting
Q

Toolson Enterprises is owned by Andy, Brian and Cherie equally for all of 2022 Toolson...

Accounting
Q

Can anyone help explain why the industry average ratios are different between managed care and...

Finance