Calculate the IRR for the project

Cirice Corporation is considering opening a branch in another state. The operating cash flow will be $154,200 a year. The project will require new equipment costing $601,000 that would be depreciated on a straight-line basis to zero over the 6-year life of the project. The equipment will have a market value of $183,000 at the end of the project. The project requires an initial investment of $42,500 in net working capital, which will be recovered at the end of the project. The tax rate is 21 percent. What is the project's IRR?

Spicy Ice Cream Co. is considering a three-year project with annual operating cash flows (OCF) of $42,790. The project requires an initial increase in Net Working Capital of $70,000 and an up-front capital expense of $60,000. The capital asset will depreciate to zero in three years and will be sold at the end of the project for $3,800 (after-tax). The required return is 24.25%. What is the project's NPV? (Note: all tax implications have already been factored into the cash flows above.)

A Corporation proposes to construct a new nuclear power plant to meet the increased demand for electricity. The plant will cost $2.2 billion to build. Cash flows provided by the plant will amount to $300 million per year for 15 years. At the end of year 15, the plant will be decommissioned. The cost of decommissioning is estimated to be $900 million. Calculate the project’s NPV if the discount rate is 5%.

Water's Edge Resorts is evaluating a project that would require an initial investment in equipment of $498,000.00 and that is expected to last for 4 years. MACRS depreciation would be used where the depreciation rates in years 1, 2, 3, 4, and 5 are 25%, 45%, 15%, 10, and 5%, respectively. For each year of the project, Water's Edge Resorts expects relevant annual revenue associated with the project to be $644000.00 and relevant annual costs associated with the project to be $479000.00. The tax rate is 44.00 percent. What is (X plus Y) if X is the relevant operating cash flow (OCF) associated with the project expected in year 1 of the project and Y is the relevant OCF associated with the project expected in year 4 of the project? $191,004.00 (plus or minus $10) O $261,492.00 (plus or minus $10) $294,360.00 (plus or minus $10) $103,356.00 (plus or minus $10) None of the above is within $10 of the correct answer

Amber Company is considering a one-year project that requires an initial investment of $500,000. However, to raise this capital, the company will incur flotation costs that are 2% of the initial investment amount. At the end of the year, the project is expected to produce a cash inflow of $576,000. What is the rate of return that the company expects to earn on this project after taking flotation costs into consideration?Your answer should be between 7.32 and 16.60, rounded to 2 decimal places, with no special characters. Your answer should be between 7.32 and 16.60, rounded to 2 decimal places, with no special characters.

Mattice Corporation is considering investing $740,000 in a project. The life of the project would be 11 years. The project would require additional working capital of $24,000, which would be released for use elsewhere at the end of the project. The annual net cash inflows would be $158,000. The salvage value of the assets used in the project would be $34,000. The company uses a discount rate of 18%. (Ignore income taxes.) Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factors) using the tables provided. Required: Compute the net present value of the project. (Negative amount should be indicated by a minus sign. Round your intermediate calculations and final answer to the nearest whole dollar amount.)

Blink of an Eye Company is evaluating a 5-year project that will provide cash flows of $32,500, $47,650, $61,810, $59,380, and $42,260, respectively. The project has an initial cost of $138,220 and the required return is 7.5 percent. What is the project's NPV?

Gadubhai

Management of Crane Home Furnishings is considering acquiring a new machine that can create customized window treatments. The equipment will cost $209,550 and will generate cash flows of $83,750 over each of the next six years. If the cost of capital is 11 percent, what is the MIRR on this project?