Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Basic Finance Expert

problem: Alyeska Salmon Inc. is considering investing in a brand new telephone product. There is a 30 percent chance that it will cost dollar 1 million to launch this new product. The probability is 70 percent that it will cost dollar 1.4 million at the initial state. Once the product is introduced, there is a 60 percent probability that it will generate dollar 1.2 million cash-flow every year for the next three years, and with probability 40% the cash-flow would be dollar 900,000 yearly for 3 years. Alyeska Salmon Inc. cost of capital is 10.5 percent. find out the net present value.

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M918178

Have any Question? 


Related Questions in Basic Finance

A recent study that examined bone strength collected data

A recent study that examined bone strength collected data from cadaveric femurs from subjects in three age groups. The data are below. Does mean bone strength differ for the three age groups? Use a 5% level of significan ...

Nme at least three ways to reduce the possibility of scc

Name at least three ways to reduce the possibility of SCC? Which is better, a relatively small anode or a large one and why? Is coating a fastener always helpful in fighting corrosion resistance, even if there are minor ...

1 under what conditions could it make sense to combine

1. Under what conditions could it make sense to combine private and public warehouses in a logistical system? 2. What role can a warehouse play in postponement strategies? 3. What is the concept of market presence, and h ...

Assignmenti have a project in finance i need done i

Assignment I have a project in finance I need done. I attached the details. There must be NO PLAGIARISM, thank you. The report should be atleast 15 Pages. Objectives Students should familiarize themselves with bonds and/ ...

Congratulationsnbsp due to your education skills you have

Congratulations!  Due to your education, skills you have learned, and hard work, you have successfully managed your fledgling start-up company to the point where you are seriously considering an Initial Public Offering ( ...

Write a ten page essay about investnment the essay can be

Write a ten page essay about investnment. The essay can be about why is it so appealing to learn investment, what are some benefits of learning investment, who are some best investors in the world, what were my favorite ...

Suppose that lilymac photography has annual sales of 222000

Suppose that LilyMac Photography has annual sales of $222,000, cost of goods sold of $157,000, average inventories of $6,300, average accounts receivable of $28,600, and an average accounts payable balance of $19,000. As ...

What is the firms goal in short-term investing how does it

What is the firm's goal in short-term investing? How does it use money market mutual funds? Describe some of the popular money market financial instruments in each of the following groups: a. U.S. Treasuries b. Federal a ...

Consider a projects incremental cash flows in order -700

Consider a project's incremental cash flows in order: -$700, $400, $300, $400. Assume a cost of capital of 7%. How does the NPV that you get by using Excel's NPV function all by itself compare to the correct NPV for this ...

1 describe integrative management be specific concerning

1. Describe "integrative management." Be specific concerning the relationship between functionality and process. 2. In terms of enterprise extension, describe the importance of the information sharing and process special ...

  • 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