Top Posters
Since Sunday
a
5
k
5
c
5
B
5
l
5
C
4
s
4
a
4
t
4
i
4
r
4
r
4
Home Q & A Board Other Fields Homework Help Business Management
New Topic  
mantparn mantparn
wrote...
Go to Answer
Posts: 1904
Rep: 2 0
7 years ago
Markepta, Inc. is considering the acquisition of Management Theories, Inc. at a cash price of $1.5 million. Crimson Services, Inc. has short-term liabilities of $500,000. As a result of acquiring Crimson Services, Inc., Markepta, Inc. would acquire the copyrights of a national best-seller which would provide an estimated cash flow of $300,000 for the next five years. The firm has a cost of capital of 20 percent. The approximate net present value of this acquisition is ________.
A) $500,000
B) $480,800
C) -$102,700.55
D) -$1,102,816.36
Textbook 
Principles of Managerial Finance

Principles of Managerial Finance


Edition: 14th
Authors:
Read 470 times
3 Replies
Replies
Answer verified by a subject expert
donnabandonnaban
wrote...
#1
Top Poster
Posts: 949
Rep: 47 0
7 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

mantparn Author
wrote...
#2
6 years ago
Thanks again for helping me in my management class!
wrote...
#3
3 years ago
Thank you ...this answers is helpful
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  911 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 873
  
 1566
  
 771
Your Opinion
What's your favorite funny biology word?
Votes: 328
Previous poll results: How often do you eat-out per week?