A project your firm is considering for implementation has these estimated costs and revenues an investment cost of $56962, maintenance costs that start at $5,000 at end-of-year (FOY) one and increase by $1,000 for each of the next four years, and then remain constant for the following five years; savings of $21931 per year (EOY 1-10); and finally a resale value of $33649 at EOY 10. If the project has a 10-year life and the firm's MARR is 10% per year, what is the present worth of the project?
Answers
The given project is for a 10 year life with an investment cost of $56962, maintenance costs that increase by $1000 for the next 4 years after which they remain constant, and a resale value of $33649 at EOY 10. Savings of $21931 per year are also anticipated from EOY 1-10.
To calculate the present worth of the project, we can use the present worth method. It involves the conversion of all costs and revenues to their present values, which are then summed to obtain the present worth of the project. We first calculate the present value of the annual savings using the formula for the present worth of an annuity.
Here, the savings of $21931 per year for 10 years at 10% interest rate gives a present value of:
$PV = (C/r)(1 - (1 + r)^-n)$
where C = annual savings,
r = interest rate,
and n = number of years.
Plugging in the given values, we get:
$PV = (21931/0.10)(1 - (1 + 0.10)^-10) = $136239.99
Next, we calculate the present value of the maintenance costs using the formula for the present worth of a uniform gradient series.
Here, the maintenance costs increase by $1000 per year for the first 4 years and then remain constant for the next 5 years, which can be converted to a uniform gradient series with the following data:
starting amount (A) = $5000,
gradient (G) = $1000,
and number of years (n) = 9 (years 1 to 9 of the project).
Using the formula, we get:$PV = A + (G/r)(1 - (1 + r)^-(n+1))
where A = starting amount, G = gradient, and r = interest rate. Plugging in the given values,
we get:
$PV = 5000 + (1000/0.10)(1 - (1 + 0.10)^-10) [(1 + 0.10)^-5 - (1 + 0.10)^-10]
= $5634.80
Finally, we calculate the present value of the resale value, which is already a single lump sum at EOY 10,
using the formula for the present worth of a single sum. We simply need to discount it back to the present year 0 using the interest rate of 10%.
Thus, $PV = FV/(1 + r)^n
= 33649/(1 + 0.10)^10
= $12457.31
Therefore, the present worth of the project is the sum of the present values of the savings, maintenance costs, and resale value.
Hence, the present worth of the project is:
PW = PV(savings) - PV(maintenance) + PV(resale)
= 136239.99 - 5634.80 + 12457.31 = $147062.50.
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Related Questions
Hi!
1) What is contrct of partnership deed ?
Answers
Answer:
Partnership Deed
Explanation:
A Partnership Agreement is a contract between two or more business partners. The partners use the agreement to outline their rights responsibilities, and profit and loss distribution. The agreement also sets the general partnership rules, like withdrawals, capital contributions, and financial reporting.
why do most people invest in the stock market?
Answers
Because many people invest in stocks simply because the odds are in their favor that over time, the market will go up and earn them money.
Answer:
To make profit
Interest on a savings account is considered income. False False
Answers
In a period of rising inventory costs, the lowest taxable income is most likely reported by a company that is using which of the following inventory methods?a.LIFOb.Specific Identificationc.FIFOd.Average Cost
Answers
In a period of rising inventory costs, the lowest taxable income is most likely reported by a company that is using LIFO, option A.
A method of accounting for inventory known as "last in, first out" (LIFO) indicates that the most recently produced items were sold first. The lower cost of older products will be reported as inventory under LIFO, as the cost of the most recent products purchased (or produced) is the first to be expensed as cost of goods sold (COGS).
First in, first out (FIFO), in which the oldest inventory items are recorded as sold first, and the average cost method, in which the weighted average of all units available for sale during the accounting period is used to determine COGS and ending inventory, are two alternative methods of inventory-costing.
Every gadget has similar deals cost, so income is something very similar, yet the expense of the gadgets depends on the stock technique chose. The last inventory that is in is the first inventory that is sold using the LIFO method. This indicates that the $200 widgets sold first. The organization then sold two a greater amount of the $100 gadgets. Altogether, the expense of the gadgets under the LIFO technique is $1,200, or five at $200 and two at $100. In contrast, according to FIFO, the widgets priced at $100 are sold first, followed by those priced at $200. Therefore, the selling price of the widgets will be recorded as $900, or $100 for five and $200 for two.
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Ensuring employees take breaks and eat food during an emergency is part of what pharmacy plan?
Select one:
Evacuation
Pharmacist's
Staffing
Employee safety
Answers
Employee safety is the pharmacy plan that includes ensuring employees take breaks and eat food during an emergency. This plan focuses on maintaining the well-being and health of employees in the workplace, especially during high-stress situations such as emergencies. Proper breaks and nutrition are essential for maintaining optimal performance and reducing fatigue among employees, which in turn helps maintain overall operational efficiency and safety.
Ensuring employees take breaks and eat food during an emergency is part of the Employee Safety plan for a pharmacy. This plan is designed to ensure the safety and wellbeing of all employees in the event of an emergency. During an emergency, such as a natural disaster or a medical outbreak, employees may be required to work long hours or may not have access to food or water. As a result, it is important to have a plan in place that ensures employees are taking breaks and eating nutritious meals.
The Employee Safety plan should include guidelines for scheduling breaks, providing access to food and water, and ensuring that employees are taking care of their physical and mental health. This plan should also include protocols for managing stress and anxiety during an emergency, as well as guidelines for communicating with employees and their families.
By implementing an Employee Safety plan, pharmacies can ensure that their employees are able to perform their duties effectively and efficiently during an emergency, while also taking care of their own health and wellbeing. This not only benefits the employees, but also the pharmacy and its customers, as it ensures that medications and supplies are available when needed most.
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if long-range aggregate supply (lras) shifts right, we know for certain that there has been a. economic growth. b. an increase in ad. c. a decrease in aggregate demand (ad). d. an increase in the price level. e. a decrease in the price level.
Answers
If long-run aggregate supply (lras) shifts right, we know for certain that there has been an increase in ad. Option b
What is the long-run aggregate supply?This a curve that depicts the correlation between price level and real GDP that would exist if all prices, including nominal wages, were completely flexible; prices can vary along the LRAS, but production cannot because it represents the output at full employment.
As productivity rises or the cost of essential inputs decreases, the aggregate supply curve shifts to the right, allowing for a combination of lower inflation, more production, and lower unemployment.
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Eric needs help with his credit problems. Which organization is considered a good, reputable source of information on how to solve credit problems?
Answers
The correct answer is option (b) National Foundation for Consumer Credit (US)
Credit problem solution can be provided by National Foundation for Consumer Credit (US).
What is National Foundation for Consumer Credit (US)?A network of non-profit credit counselling groups operates nationally under the name of National Foundation for Credit Counseling (NFCC). People who have taken on too much debt can benefit from counselling in order to avoid filing for bankruptcy, which is one of the main services offered by NFCC member organisations.
If you need help with your money, contact Consumer Credit Counseling Services (CCCS), a membership organisation of regional nonprofit organisations. Consumer finance businesses, banks, credit card issuers, and other lenders all make voluntary contributions to CCCS.
Revolving credit and instalment credit are the two types of consumer credit. Revolving credit works similarly to a credit card in that the borrower is given permission to utilise a certain amount of credit whenever they need it.
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Answer:
b national foundation of consumer credit (us)
Explanation:
Why do companies offer Benefits & Incentives to their employees when
they are not required by law to do so?
Answers
In law, Salary or wages are the compulsory incentives an employee or worker of labor is entitled to, for services offered to the company.
The use of Benefits and Incentives serves as External Motivator for employees.Some companies offers its employees a prize if they can achieved a certain target or goals,
In conclusion, the act of giving incentives does not only motivates them, but it serves as techniques to make employee stay longer at the company.
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( FASHION DESIGN!!)
Fad, Flops and Classics
1. If you are a fashion designer, what are you most concerned about during the introduction phase?
2. Why do you suppose the prices are the highest during the introduction phase?
3. What happens in a retail store when fashion prices have been drastically reduced and are still not selling?
4. How does the depiction of a classic compare with a flop or fad?
Answers
Prices are often the highest during the introduction phase because the demand for a new design is usually the highest at this time. As the design becomes more widely available and the initial demand is met, the price may start to decrease.
If fashion prices have been drastically reduced and are still not selling in a retail store, it may indicate that the designs are not popular with consumers or that there is too much competition in the market. In this case, the store may choose to discontinue carrying the fashion items or may try to find ways to make them more appealing to consumers, such as through marketing or styling efforts.
A classic is a fashion item that is timeless and remains popular over a long period of time. A flop, on the other hand, is a fashion item that is not well received and does not sell well. A fad is a fashion item that is popular for a short period of time but quickly goes out of style. In general, a classic is likely to be more enduring and have a longer lifespan than a flop or fad.
how do contact list differ from an address book
Answers
Answer:
they don't really differ, a contact list is justa digital adress book
Explanation:
What is a disadvantage of using a checking account instead of other types of
accounts?
A. You will likely not have federal protection for your money.
B. You will pay a fee if you make too many transactions.
C. You will generally not receive interest.
D. You will pay a penalty if you withdraw your money.
Answers
Answer:
you will generally not receive interest
Explanation:
took the quiz
Which of the following are money market instruments? Check all that apply.
Common stocks
O Treasury bills
O Long-term bank loans
O Commercial paper
Im Certificates
Certificates of deposit
Answers
Commercial paper is one of the following money market instruments. Commercial paper is a type of short-term, unsecured debt instrument issued by corporations to fund short-term liabilities.
What is money market?Bank accounts, including time credentials of deposit; interbank loans (loans between banks); money market mutual funds; commercial paper; Treasury bills; and securities lending and repurchase agreements are all examples of money markets (repos). The money market is an economic component that provides short-term funds. The money market specializes in short-term loans of one year or less. Money market funds are widely regarded as one of the most stable investments, as they have low volatility and are less susceptible to market fluctuations. Money funds are also more liquid than other investments with comparable returns, such as CDs, because they allow you to quickly withdraw cash or purchase other investments.To learn more about money market, refer to:
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Let C(x) = 11x + 6000 be the cost function and R(x) = 16x be the revenue function
depending on the quantity of a product. (Hint: Ex in P. 6 of Ch 1.3 in LN).
a. Find the unit cost of the product.
b. Find the fixed cost of the product.
c. Find the profit function of the product.
d. Find the break even point of the product.
Answers
The unit cost is (11x + 6000)/x, the fixed cost is $6000, the profit function is 5x - 6000, and the break-even point is at 1200 units.
a. The unit cost of the product can be found by dividing the cost function C(x) by the quantity x:
Unit Cost = C(x)/x = (11x + 6000)/x
b. The fixed cost of the product is the cost when the quantity is zero, which is the value of the constant term in the cost function:
Fixed Cost = $6000
c. The profit function is obtained by subtracting the cost function C(x) from the revenue function R(x):
Profit = R(x) - C(x) = 16x - (11x + 6000) = 5x - 6000
d. The break-even point is the quantity at which the revenue equals the cost, or when the profit is zero. We can set the profit function equal to zero and solve for x:
5x - 6000 = 0
5x = 6000
x = 1200
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what is home trade businness
Answers
Answer:
Home trade is the buying and selling of goods (with the aim of making profit) among people of the same country.
Explanation:
Please help. Atleast the top 2
Answers
Answer:
Number 1 is Pure Market. Number two is socialist, I'm pretty sure.
Explanation:
Please mark me brainliest if someone else answers :>
New Belgium's organizational structure is divided by Multiple Choice geography. demographics. products. centralization. departments.
Answers
In New Belgium firm, the organizational structure is based and divided by department.
What is an organizational structure?This basically means the method at which work flows through an organization and how activities are delegated toward achieving an organization's goal.
Majority of the departmental structure of an organization usually include: marketing, finance, human resources, information technology, administration, production etc
Therefore, the Option E is correct.
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The owner of a bike shop would like to analyze the sales data to determine if the business is growing, declining, or remaining flat. The owner has the following data:
Sales Revenue Last Year =$125,000
Sales Revenue Current Year = $150, 000
What is the Sales Growth?
Do not forget to type the % symbol after multiplying your result by 100 to convert to percentage!
Hint: Your answer will NOT have decimal point.
Example: 75%
Answers
To calculate the sales growth, you can use the following formula:
(Sales Revenue Current Year - Sales Revenue Last Year) / Sales Revenue Last Year x 100%
Plugging in the numbers, we get:
($150,000 - $125,000) / $125,000 x 100% = 20%
Therefore, the sales growth is 20%.
Sales Growth = (Sales Revenue Current Year - Sales Revenue Last Year) / Sales Revenue Last Year × 100%
Sales Growth = ($150,000 - $125,000) / $125,000 × 100%
Sales Growth = $25,000 / $125,000 × 100%
Sales Growth = 0.2 × 100%
Sales Growth = 20%
Therefore, the Sales Growth is 20%.
Match each component of a mortgage with its definition.
the amount a borrower needs to have
on hand to obtain a mortgage
taxes
the amount initially borrowed from a
lender
fees
the additional costs a lender charges
for processing a loan
principal
payments homeowners are required
to make each year to the government
down payment
Answers
Answer:
Fees-the additional costs a lender charged for processing a loan
Principal-The amount initially borrowed from a lender
Taxes-payments homeowners are required to make each year to the government
Down payment- the amount a borrower needs to have on hand to obtain a mortgage
Explanation:
Which of the following would qualify as a sedentary job?
Answers
there isnt anything on there
before accepting an audit engagement, an auditor should make specific inquiries of the predecessor auditor regarding the predecessor’s
Answers
If your company increases its market penetration, what is happening?
A The target market is growing.
В. More people in the target market are buying the company's product.
C. The market saturation of the target market has decreased.
D. Competitors who offer similar products are entering the market.
Answers
Answer: More people in the target market are buying the company's product.
Explanation:
Answer:
B.
More people in the target market are buying the company's product.
Explanation:
there is much a small business can do to create memorable images and advertising for itself, and it does not need expensive television ads to do it. which element of scamper is being referred to here?
Answers
The element of SCAMPER that is being referred to in this context is “substitute.”
SCAMPER is a brainstorming tool that is used for generating new and innovative ideas. The acronym SCAMPER stands for Substitute, Combine, Adapt, Modify/Magnify, Put to other uses, Eliminate, and Rearrange. It is an organized way of asking questions that can help generate creative ideas and solutions.
In this context, the idea being conveyed is that small businesses can create memorable images and advertising without spending a lot of money on television ads. This is an example of the “substitute” element of SCAMPER, which refers to the act of replacing or substituting an existing element with something else that can produce a better or more effective result.
For instance, instead of spending money on expensive television ads, a small business can use social media platforms, email campaigns, or other forms of digital marketing to create memorable images and advertising that can reach a wider audience. This is an example of using a substitute or alternative approach to achieve the desired outcome.
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List and explain ten factors to consider in preparing family income
Answers
Answer:
1. Availability of Money:
The expenditure of a family depends upon the availability of money or total income of the family. It can afford to spend under various needs. In lower income group, families expenditure is more on food. Higher income group families spend more on recreation, education and luxuries etc.
2. The size and the composition of the family:
Expenditure depends upon the size and composition of the family. The size of the family means the number of adults and children. The more the mouths to eat the expenditure is more on food, clothing and shelter. With the growth of children, more will be spent on education and clothing. More will be spent towards transportation when the members go out of the house for work or study.
Composition of the family means the number of adults and children in the family. It also includes the number of males, females and old persons. For old persons, extra expenditure will be incurred towards health and medical expenses.
3. Stages of family life cycle:
Family life cycle plays an important role in spending money. At the beginning stage, most part of the family income is spent towards the establishment expenditure as a newly married couple starts their family life. In the expanding stage families need money for the children, their food, dress, education etc. Some families in the expanding stage spend more on purchasing durable household goods, furniture etc. In the contracting stage major expenditure is on wedding celebration of their children. During this stage, the family income is gradually reduced. So the expenditure should be cut short.
4. Occupation of the family members:
Sometimes expenditure of the family depends upon the occupation of the family members. In certain jobs, there are special benefits like free quarters, educational facilities for children, health and medical allowance, travelling allowance etc.
5. The needs and objectives of the family:
Expenditure will be done according to the needs and objectives of the family. For example, a family where young children are there, more will be spent for nutritious foods. Old people require health and medical expenses. Working women spend money for the servants as they do not find time to do the household work.
6. Resources:
Both human and material resources can make significant changes in the pattern of expenditure of a family. The abilities, skill, knowledge, interest, attitude and habits of the members of the family can be utilized for various purposes as supplementary income.
7. Locality of the family:
In rural areas more will be spent on food. But in urban areas the expenditure is more on education, recreation, transportation, accommodation etc.
8. Socio-economic status of the family:
The socio-economic status of the family is determined by its income, education level and occupation of the members. The higher the socio-economic status the expenditure will be more on interior decoration, higher education, club membership, accommodation, recreation etc. The total expenditure depends on the standard of living the family maintains.
9. Social and religious traditions:
Some families accept old and traditional values. So they spend more on marriages and religious festival.
10. Personal choice:
Expenditure depends upon the personal choice. For example, one person may have a liking for expensive perfumes and jewellery while another may have simple tastes. Expenditure is also affected by the measures taken in the family to make provision for the future like house building, higher education of children etc. The home-maker will be able to manage with her income by cutting out unnecessary and extravagant expenditure. “One must cut one’s coat according to his cloth.”
This saying is rightly proved in home management. Balancing of income and expenditure is the best way of money management. Whatever the income may be, the efficient management of money is a requisite for a happy, successful and peaceful family life.
distinguish between individual Centred career and Organisation Centred career
Answers
Answer:
please check my profile
Explanation:
Please help me where can I find an app that helps me more about Business and becoming a business man please help thank you have a great rest of your day:)
Answers
1.] Gusto "Small business owners with a team to run may find Gusto a lifesaver."
2.] Scanner App. "This free app for small business lets you send documents and forms on the go."
3.] Square. "Square is the payment app for small business right now."
4.] Wunderlist. ...
5.]LinkedIn. ...
6.]PicMonkey. ...
7.] Shopventory. ...
8.] TripIt.
these are all ranked gusto being the best and 8 being good but not as good as the top 3
The first systematic chart ever made of an ocean current………by Benjamin Franklin.
Answers
Answer:
MARK ME BRAINLIEST PLEASE
Explanation:
was published
Why does no one like me? i need answers.
Answers
Answer:
nobody likes me either lol
Implementing and executing strategy successfully requires Implementing and executing strategy successfully requires:______________
A. the same kinds of creative management talent and innovative thinking capabilities as crafting strategy.
B. a financially driven process aimed at squeezing the most profit out of conducting daily operations.
C. the efforts of a company's whole management team, not just a few senior managers
D. a high caliber CEO that possesses the business vision, industry and competitive analysis skills, and entrepreneurial creativity needed to navigate the competitive landscape.
E. less managerial expertise and effort to perform well, at least in comparison with crafting a winning strategy.
Answers
Answer: C. . the efforts of a company's whole management team, not just a few senior managers
Explanation:
Planning, implementing and carrying out strategies requires a careful, collective and calculative decision to be made by all head of department and the board of an organization, because the decision taken will rub off through these departments for implementation. The decision or choice of decision should not be left to a few persons in the organization because when the ideas and plans are arranged the execution may fail as all the respective department were not involved by their heads.
why cant i work when im 13?
Answers
Answer:
Because you're not "old enough" to work, it's like you're still seen as a kid but its different for other countries and states.
Explanation:
DUE TO UNFORTUNATE REASONS YOU CAN NOT bcuz of an age limit. Lifes cruel young blood. The world doesnt want you to advance in life, to strive and prosper. keep living homie :(
AAPL is traded on Nasdaq. Now, AAPL has an ask price of 104.5 and a bid price of 104. If you buy a share of APPL stock by placing a market buy order and then sell it immediately by placing a market sell order, what is your profit (loss) from this process? ($0.50)$0$0.50($0.25)$0.25
Answers
The investor would end up losing a total of fifty cents. The correct answer is ($0.50).
AAPL is traded on the NASDAQ, and it has an asking price of 104.5 and a bid price of 104. If an investor buys a share of APPL stock by placing a market buy order and then sells it immediately by placing a market sell order, When an investor places a market buy order for AAPL stock, the investor pays the asking price of $104.5. When an investor places a market sell order for AAPL stock, the investor receives the bid price of $104. In other words, the investor will lose money if the difference between the purchase and sale prices is negative and will make money if the difference is positive. Using the given numbers, the profit from the process is:$104 - $104.5 = -$0.50
Since the difference between the asking price and the bid price is negative, the investor will lose money. Therefore, the correct option is ($0.50).
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