Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Project Management Expert

McGilla Golf has made decision to sell new line of golf clubs. Clubs will sell for $500 per set and have variable cost of $200 per set. Company has spent $122,000 for marketing study which determined company will sell 50,000 sets per year for seven years. Marketing study also found out that company will lose sales of 12,000 sets of its high-priced clubs. High-priced clubs sell at $700 and have variable costs of $300. Company will also increase sales of its cheap clubs by 6,000 sets. Cheap clubs sell for $200 and have variable costs of $100 per set. Fixed costs each year will be $6,125,000. Company has also spent $857,000 on research and development for new clubs. Plant and equipment required will cost $17,500,000 and will be decreased on straight-line basis. New clubs will also need increase in net working capital of $831,000 which will be returned at the end of project. Tax rate is 37 percent, and cost of capital is 13 percent.

Compute payback period is years the NPV is, and IRR is percent.

Project Management, Management Studies

  • Category:- Project Management
  • Reference No.:- M932981

Have any Question? 


Related Questions in Project Management

A company manufactures three products a b and c by using

A company manufactures three products: A, B and C by using three resources. Each unit of product x takes six man hours and 0 twenty hours of machine capacity and two cubic meter of storage place. Similarly, one unit of p ...

Write in 450 wordswebliography contributionover the length

Write in 450 WORDS. Webliography Contribution Over the length of the course, upload three separate URL references to articles relating to current healthcare insurance and managed healthcare issues. Explain the relevance ...

1 explain why optimal profits should occur when marginal

1. Explain why optimal profits should occur when marginal cost equals marginal revenue. 2. Chambers Company has just gathered estimates for conducting a breakeven analysis for a new product. Variable costs are $7 a unit. ...

Using mcdonalds method analyse the case studyand give

Using Mcdonalds method analyse the case study. and give appropriate recommendations, also use ACS code of ethics. Answer all the questions mentioned in Mcdonalds method clearly. Case Study 2 -Conflict of Interest Michael ...

1 compare and contrast a trade discount and a quantity

1. Compare and contrast a trade discount and a quantity discount. 2. What is the reason for using the term F.O.B.? 3. What are the major methods used for transfer pricing?

Project management assignment1 the following table shows

Project Management Assignment 1) The following table shows the allocation of work assignments and resources needed for an investment firm to make a decision on investing in company XYZ.   Task A Task B Task C Prtfolio Ma ...

Mr abebe manager of yyy appliances for addisabeba midtown

Mr. Abebe, Manager of YYY appliances for addisabeba midtown department store feels that her inventory levels of stoves have been running higher than necessary. Before revising the inventory policy for stoves she records ...

Company starbucks no need to work on section 1 introduction

Company: Starbucks no need to work on section 1 introduction and section 2 brief history This assignment needs your team (4-5 students for a team) to apply the basic concepts of Management to a real situation, to access ...

Assessmentnote the assessments in this course build upon

Assessment Note: The assessments in this course build upon each other, so you are strongly encouraged to complete them in sequence. Write a paper evaluating a project failure. (You can use a project you have worked on as ...

Business law final assignmentpart one multiple choice

Business Law : Final Assignment Part One: Multiple Choice Questions 1. Which of the following requires consideration to be binding on the parties? a) Material modification of a contract involving the sale of real estate. ...

  • 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