c. Africa should be only one of the main focal points of their study of history.
General Foods is a large corporation organized by product lines. They are evaluating Super Project, the manufacture of a new powdered dessert. Crosby Sanberg, a financial analysis manager, must determine the value in accepting the proposal, along with J.C. Kresslin, the Corporate Controller. The Super Project will increase profit with a payback period of less than ten years. The proposed capital investment for the project is $200,000 ($80,000 for building modifications and $120,000 for machinery and equipment) and production would take place
3. Estimate the project’s NPV. Would you recommend that Tucker Hansson proceed with the investment?
Problem 1: Jonathon Barrs is a manager for Easy Manufacturing, LLC. He wishes to evaluate three possible investments. These investments are for the purchase of new machine tools from Germany, Japan, and a local US manufacturer. The firm earns 10% on its investments and they have a risk index of 5%. The chart below lays out the expected return and expected risks of the three projects.
General Instructions: • Write your name and student ID clearly above. • You have 1 hour and 15 minutes to write the exam. No extra time will be given. • There are 4 questions in the exam, all with subparts. The questions combine for a maximum of 100 points. • You must write your answers clearly in the space provided for each question. You might use the backside of each page, as well as any additional sheets as required. If you are using additional space, you must clearly label the question no. that you are answering. Any loose sheets must have your name and student ID written clearly. • The exam is open book/open notes, however,
a) In the first set of calculations, the staff used a discount rate of 20%, a five-year time horizon, and ignored taxes and terminal value. What is the relative attractiveness of these three alternatives?
You have now been tasked with providing a recommendation for the project based on the results of a Net Present Value Analysis. Assuming that the required rate of return is 15% and the initial cost of the machine is $3,000,000.
There are two exams in this course: a midterm and a final. The midterm will cover material from Modules 1–4 and the final will cover material from Modules 5–8. Both exams are closed-book/closed-notes and must be completed 1 hour and 30 minutes of uninterrupted time.
2. The current NPV is negative. One way to save money would be to reduce consulting costs. Please set the average consulting cost per month in cell b33 to $5000. At what discount rate is the NPV for the project 0?_____0.026____
(二選一) 4.2.Perform a financial analysis for a project using the format provided in Figure4-5. Assume the projected costs and benefits for this project are spread over four years as follows: Estimated costs are $200,000 in Year 1 and $30,000 each year in years 2, 3, and 4. Estimated benefits are $0 in Year 1 and $100,000 each year in years 2, 3, and 4. Use a 9 percent discount rate, and round the discount factors to two decimal places. Create a spreadsheet (or use the business case financials template provided on the companion Web site) to calculate and clearly display the NPV, ROI, and year in which payback occurs. In addition, write a paragraph explaining whether you would recommend investing in this
1. What do the different strategies suggested and how are they related to the theories reviewed in this class (applied to the Elizabeth Arden case)? In other words, how does a contingency theory strategy differ from a VRIN strategy and differ from a game theory strategy for Elizabeth Arden? Clearly and completely articulate the differences and similarities that each of these lenses suggest?
have a 90 minutes to complete the exam. The exam will cover all topics from the course. A
5. The project is assumed to end in year 4. Do you think that this is realistic? Can you estimate the value of the project’s operating cash flows beyond year 4? State any assumptions you made.
Assume that you recently graduated with a major in finance. You just landed a job as a financial planner with China Development Industrial bank (CDIB), a large financial services corporation. Your first assignment is to invest $100,000 for a client. Because the funds to be invested in a business at the end of 1 year, you have been instructed to plan a 1-year holding period. Further, your boss has restricted you to the investment alternatives in the following table, shown ith their probabilities and associated outcomes.