Accumulated depreciation

Checking Cost of goods sold

Owner’s equity

Loan payable ]]>

0. $ 74,000

1. ?49,000

2. ?41,000

a. What is the IRR for this project? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

b. What is the NPV of this project if the required return is 12 percent? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

c. What is the NPV of the project if the required return is 0 percent? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

d. What is the NPV of the project if the required return is 24 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

]]>t A % B % C % D % MARKET %

1 18.23 18.56 12.43 12.82 12.28

2 18.24 15.27 13.45 15.82 5.99

3 14.71 14.12 4.32 12.58 12.41

4 -6.56 -1.57 -8.54 -9.36 -4.48

5 9.12 13.16 12.21 12.45 13.41 ]]>

A. They are unique.

B. They are routine.

C. They have specific due date.

D. They have a specific deliverable.

E. They have a purpose. ]]>

a) This is required by the tax authority.

b) This is required by the Securities Commission.

c) It is cash, not accounting income that is central to the firm’s capital budgeting decision.

d) It is simpler to calculate cash flows than income flows. ]]>

forecasting annual profits for the next five years

deciding the price of a product for the next six months

deciding the appropriate product mix when there are constrained resources

purchasing a piece of equipment with an expected life of eight years