× Didn't find what you were looking for? Ask a question
Top Posters
Since Sunday
5
a
5
k
5
c
5
B
5
l
5
C
4
s
4
a
4
t
4
i
4
r
4
Home Q & A Board Other Fields Homework Help Business Economics
New Topic  
pduvin pduvin
wrote...
Posts: 679
Rep: 0 0
6 years ago
Easton Ltd. is considering investing in a new piece of machinery for its factory. The machine costs $340,000 and is expected to last 7 years. It estimates that annual cash flows would be $82,000 and the equipment would have a salvage value of $13,000. The company's hurdle rate is 11%. What is the net present value of this investment? (Ignore income taxes.)
A) $87,625
B) $46,400
C) $52,662
D) $234,000
E) $247,000
Textbook 
Cost Accounting: A Managerial Emphasis, Canadian Edition

Cost Accounting: A Managerial Emphasis, Canadian Edition


Edition: 7th
Authors:
Read 68 times
1 Reply

Related Topics

Replies
wrote...
#1
6 years ago
C
Explanation:  C) CF0 = ($340,000) CF 1-6 = $82,000 CF 7 = $95,000 NPV = $52,661.65
Without mathematics, there's nothing you can do. Everything around you is mathematics. Everything around you is numbers.
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1255 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 306
  
 602
  
 171
Your Opinion
How often do you eat-out per week?
Votes: 79
Previous poll results: Who's your favorite biologist?