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

How are equity compensation plans affected when used as

How are equity compensation plans affected when used as incentive compensation with employees from different countries in the MNEs?

Request for proposal- a request for proposal rfp is a

REQUEST FOR PROPOSAL:- A request for proposal (RFP) is a formal document that describes in detail your logical requirements for a proposed system and invites outsourcing organizations to submit bids for its development. ...

Create a multi-level work breakdown structurethis

Create a multi-level work breakdown structure This assignment consists of two parts: a project schedule, and a written response. You must submit both parts as separate files for the completion of this assignment. Label e ...

Assignmentscenarioyou work as a project manager for the it

Assignment Scenario You work as a project manager for the IT department at your company, a supplier of customized management software packages for the oil industry. Your company is in the process of a big expansion, and ...

Case study - communities supporting CASE STUDY - Communities Supporting Communities

CASE STUDY - Communities Supporting Communities Overview Purpose The purpose of the Project Initiation Documentation is to define the project, in order to form the basis for its management and an assessment of its overal ...

1 calculate the atomic density of ga atom as atom and gaas

1. Calculate the atomic density of Ga atom, As atom, and GaAs atom-pair in GaAs. 2. What is the concentration of that k(boron in liquid and soild Si) = 0.8 and that the Si liquid has 1.0x10 16  boron/cm 3  initially? 3. ...

Assignment project performancelength 1200-1800wordsfor this

Assignment: Project Performance Length: 1200-1800words For this assignment, you will further enhance your overall Quality Management Integration Plan by adding in a section to address quality performance monitoring and c ...

Assignment project team and stakeholder management -

Assignment: Project Team and Stakeholder Management - Essay Read the project case for this assignment. As the project manager for the District 4 Warehouse Move project, you will need to determine who your stakeholders an ...

Investigate building your own home networkbuild your own

INVESTIGATE BUILDING YOUR OWN HOME NETWORK Build your own home network on paper. Assume you have the computers already and just need to link them together. Find prices for switches and routers on the Web. Also research E ...

1 how do industry profits change as a product moves through

1. How do industry profits change as a product moves through the four stages of its life cycle? 2. What are the stages in the product adoption process, and how do they affect the commercialization phase? 3. How does bran ...

  • 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

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

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen