You are considering two mutually exclusive projects with unequal lives. One of the projects has an up-front cost of $60,000 (CF0= -60,000) and produces positive after- tax cash inflows of $20,000 a year at the end of each of the next 7 years. Assuming the cost of capital is 9.3%, what is the equivalent annual annuity of the project? $5,948 $6,398 $7,298 $7,958 $8,828 $9,788

A project requires a $1 million initial investment, and will yield incremental after-tax cash flows of $225,000 next year, and this will decline forever at rate of g = -5% per year.  What is the IRR of the project, stated as an APR compounded annually?

You have been offered a project paying $300 at the beginning of each year for the next 20 years. What is the maximum amount of money you would invest in this project if you require 9 percent rate of return to your investment? OA. $2,739 B. $2,985 C. $15,348 OD. $16,729

You have an opportunity to invest $ 108 000 now in return for $ 79500 in one year and $ 30 comma 300 in two years. If your cost of capital is 8.5 %, what is the NPV of this investment? The NPV will be $

If your project has a NPW of $141,000, your MARR is 7% per year and your project duration is 11 years, what is the annual equivalent worth?

A certain project requires a $1 million initial investment, and will yield incremental after-tax cash flows of $225,000 per year for 5 years. What is the IRR of the project, stated as an APR compounded annually?

A new machine will cost $400,000 and generate after-tax cash inflows of $50,000 for 12 years. Find the NPV if the firm uses a 11% opportunity cost of capital. What is the IRR? What is the payback period? (5’)

Project X has an upfront $3.5 million capital expe which is converted into an equivalent seven year annuity at a discount rate of 8% per year. Project Z has a $7 million initial capital outlay and will last for 14 years. Project Z has the same discount rate as Project X. What is the annualized capital cost of Project X? O $766,912 O $742,753 O $528,050 O $672,253

A project requires a $1 million initial investment, and will yield incremental after-tax cash flows of $300,000 per year for 5 years.  What is the NPV of the project if the required return is 12% APR compounded annually?

A project requires a $1 million initial investment, and will yield incremental after-tax cash flows of $300,000 per year for 5 years. What is the IRR of the project, stated as an APR compounded annually?