Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Project Management Expert

A new asset with the 3-year tax life is to be used in 5-year project. Asset cost $200,000 and will be depreciated based on MACRS. Machine will create revenues of $100,000 a year and operating expenses, excluding depreciation, is $40,000 a year. Asset is expected to be sold for $20,000 at the end of project. Suppose 34% tax rate and 11% required rate of return.

(a) Determine the net salvage value of the asset?

(b) prepare the NET cash flows of year 1 through year 5.

(c) Determine the NPV of project? (Under MACRS, depreciation rate for asset with 3-year tax life is: 33.33%, 44.44%, 14.82%, 7.41%, in year1, year 2, year 3, and year 4 respectively).

Project Management, Management Studies

  • Category:- Project Management
  • Reference No.:- M932553

Have any Question? 


Related Questions in Project Management

1 what three concepts of evolution are used by the genetic

1. What three concepts of evolution are used by the genetic algorithm? 2. What are intelligent agents? What tasks can they perform? 3. What is a multi-agent system? 4. What do monitoring-and-surveillance agents do?

Gary gorton a professor at yale university has compared

Gary Gorton, a professor at Yale University, has compared repurchase agreements used by shadow banks to bank deposits in commercial banks. He notes that: "If the depositors become concerned that their deposits are not sa ...

Arguably the trickiest part of building and maintaining an

Arguably the trickiest part of building and maintaining an effective virtual team is the task of balancing "togetherness" and "apartness." Some insight was given to this question in the background reading. Now read an ad ...

Review a project schedule and evaluate for potential

Review a Project Schedule and Evaluate for Potential Issues/Cost Impacts In a 1-page Word document, consider the following activities and their durations. The original project schedule, using early activity starts, is sh ...

Use the project you have been working on in units iii and

Use the project you have been working on in Units III and VI to conduct a preliminary risk analysis of your project. Please use a qualitative and a quantitative technique to evaluate project risk. The total assignment is ...

Critically evaluate the rationale for holding employees

"Critically evaluate the rationale for holding employees vicariously liable for the actions of employees". word count: 1000 words.

Taskvarious tasks as outlined below after the case

Task Various tasks as outlined below after the case background. Case Background As the project manager you are required to present an initial project report to the project sponsor that shows how you propose to implement ...

Write a 500-750-word paper that identifies the major

Write a 500-750-word paper that identifies the major characteristics of services compared with goods, and describe how technology is changing the customer service and service offerings.

1 identify organizations in your area that fit each

1. Identify organizations in your area that fit each business market category-producer, reseller, government, and institutional. Explain your classifications. 2. Indicate the method of buying (description, inspection, sa ...

Write in 350 wordsanswer the questions-case study

Write in 350 words. Answer the questions:- Case Study Questions How might she draw upon and apply the theories of management and motivation to address these issues? How might she approach the dentists? What are the most ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro