subject
Business, 21.12.2019 01:31 mmaglaya1

The bakery is considering a new project it considers to be a little riskier than its current operations. thus, management has decided to add an additional 1.2 percent to the company's overall cost of capital when evaluating this project. the project has an initial cash outlay of $63,000 and projected cash inflows of $19,000 in year 1, $34,000 in year 2, and $28,000 in year 3. the firm uses 33 percent debt and 67 percent common stock as its capital structure. the company's cost of equity is 13.8 percent while the aftertax cost of debt for the firm is 5.7 percent. what is the projected net present value of the new project?

ansver
Answers: 3

Another question on Business

question
Business, 21.06.2019 22:30
Jade international is a highly diversified global firm with headquarters in new jersey. it manufactures a variety of products ranging from home security systems to automotive components. jade's 100,000 employees work at facilities located in more than 60 countries around the world. jade frequently sends american managers overseas to manage the firm's foreign facilities. the hr department is considering the idea of redesigning jade's expatriate support services program.which of the following, if true, best supports jade's decision to provide assistance to trailing spouses in finding jobs overseas? a) jade puts great emphasis on promoting the role of women in global management.b) the majority of jade's expatriate managers have long-term international experience.c) jade has lost a significant chunk of its global cadre in the recent past owing to its failure to offer feasible options to address the dual-career couples dilemma.d) female managers at jade have reported discriminatory treatment while on overseas assignments.
Answers: 1
question
Business, 22.06.2019 10:30
Which maxim is being neglected in the following conversation? eli: how did you do at the track meet? caleb: i came in second place! eli: congratulations! what was your time? caleb: six minutes, four seconds. the guy who won only beat me by three seconds. eli: really? katie said the winning time was under 6 minutes. caleb: oh, well, he might have beat me by five seconds. a)maxim of quantity b)maxim of quality c)maxim of relevance d)maxim of manner
Answers: 1
question
Business, 22.06.2019 10:50
Suppose that a firm is considering moving from a batch process to an assembly-line process to better meet evolving market needs. what concerns might the following functions have about this proposed process change: marketing, finance, human resources, accounting, and information systems?
Answers: 2
question
Business, 22.06.2019 11:40
The following pertains to smoke, inc.’s investment in debt securities: on december 31, year 3, smoke reclassified a security acquired during the year for $70,000. it had a $50,000 fair value when it was reclassified from trading to available-for-sale. an available-for-sale security costing $75,000, written down to $30,000 in year 2 because of an other-than-temporary impairment of fair value, had a $60,000 fair value on december 31, year 3. what is the net effect of the above items on smoke’s net income for the year ended december 31, year 3?
Answers: 3
You know the right answer?
The bakery is considering a new project it considers to be a little riskier than its current operati...
Questions
question
Mathematics, 20.08.2020 02:01
Questions on the website: 13722360