Hello! Please help me with as much of this as you can. Thank you! Present Value of an Annuity of $1 at Compound Interest (Partial Table) Year 10% 20% 1 0.909 0.833 5 3.791 2.991 10 6.145 4.192 Alpha Beta Gamma Annual net cash flow $fill in the blank 7f0ece094062012_1 $fill in the blank 7f0ece094062012_2 $fill in the blank 7f0ece094062012_3 Present value factor fill in the blank 7f0ece094062012_4 fill in the blank 7f0ece094062012_5 fill in the blank 7f0ece094062012_6 Present value of annual net cash flows $fill in the blank 7f0ece094062012_7 $fill in the blank 7f0ece094062012_8 $fill in the blank 7f0ece094062012_9 Amount to be invested fill in the blank 7f0ece094062012_10 fill in the blank 7f0ece094062012_11 fill in the blank 7f0ece094062012_12 Net present value $fill in the blank 7f0ece094062012_13 $fill in the blank 7f0ece094062012_14 $fill in the blank 7f0ece094062012_15 Question Content Area Final Questions After reviewing all your data, answer the following questions (1)-(3). 1. What can you say about each proposal? (<, =, > 20%) Proposal Internal Rate of Return Alpha Beta Gamma 2. What can you say about these proposals? (A, B, C, A and B, B and C) a. HomeGrown would be breaking even (i.e., profit = 0) if Alpha’s proposal is chosen. b. Only Gamma’s proposal is yielding more than HomeGrown’s minimum desired rate of return. c. Gamma’s proposal is the only proposal that would be acceptable to HomeGrown. 3. Which proposal is the best choice for HomeGrown given the data collected?
Hello! Please help me with as much of this as you can. Thank you! Present Value of an Annuity of $1 at Compound Interest (Partial Table) Year 10% 20% 1 0.909 0.833 5 3.791 2.991 10 6.145 4.192 Alpha Beta Gamma Annual net cash flow $fill in the blank 7f0ece094062012_1 $fill in the blank 7f0ece094062012_2 $fill in the blank 7f0ece094062012_3 Present value factor fill in the blank 7f0ece094062012_4 fill in the blank 7f0ece094062012_5 fill in the blank 7f0ece094062012_6 Present value of annual net cash flows $fill in the blank 7f0ece094062012_7 $fill in the blank 7f0ece094062012_8 $fill in the blank 7f0ece094062012_9 Amount to be invested fill in the blank 7f0ece094062012_10 fill in the blank 7f0ece094062012_11 fill in the blank 7f0ece094062012_12 Net present value $fill in the blank 7f0ece094062012_13 $fill in the blank 7f0ece094062012_14 $fill in the blank 7f0ece094062012_15 Question Content Area Final Questions After reviewing all your data, answer the following questions (1)-(3). 1. What can you say about each proposal? (<, =, > 20%) Proposal Internal Rate of Return Alpha Beta Gamma 2. What can you say about these proposals? (A, B, C, A and B, B and C) a. HomeGrown would be breaking even (i.e., profit = 0) if Alpha’s proposal is chosen. b. Only Gamma’s proposal is yielding more than HomeGrown’s minimum desired rate of return. c. Gamma’s proposal is the only proposal that would be acceptable to HomeGrown. 3. Which proposal is the best choice for HomeGrown given the data collected?
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter7: Allocating Costs Of Support Departments And Joint Products
Section: Chapter Questions
Problem 17E
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Question
Hello! Please help me with as much of this as you can. Thank you!
Present Value of an at |
||
Year | 10% | 20% |
1 | 0.909 | 0.833 |
5 | 3.791 | 2.991 |
10 | 6.145 | 4.192 |
Alpha | Beta | Gamma | |
Annual net cash flow | $fill in the blank 7f0ece094062012_1 | $fill in the blank 7f0ece094062012_2 | $fill in the blank 7f0ece094062012_3 |
Present value factor | fill in the blank 7f0ece094062012_4 | fill in the blank 7f0ece094062012_5 | fill in the blank 7f0ece094062012_6 |
Present value of annual net cash flows | $fill in the blank 7f0ece094062012_7 | $fill in the blank 7f0ece094062012_8 | $fill in the blank 7f0ece094062012_9 |
Amount to be invested | fill in the blank 7f0ece094062012_10 | fill in the blank 7f0ece094062012_11 | fill in the blank 7f0ece094062012_12 |
$fill in the blank 7f0ece094062012_13 | $fill in the blank 7f0ece094062012_14 | $fill in the blank 7f0ece094062012_15 |
Question Content Area
Final Questions
After reviewing all your data, answer the following questions (1)-(3).
1. What can you say about each proposal? (<, =, > 20%)
Proposal |
of Return |
Alpha |
|
Beta |
|
Gamma |
|
2. What can you say about these proposals? (A, B, C, A and B, B and C)
a. HomeGrown would be breaking even (i.e., profit = 0) if Alpha’s proposal is chosen.
b. Only Gamma’s proposal is yielding more than HomeGrown’s minimum desired rate of return.
c. Gamma’s proposal is the only proposal that would be acceptable to HomeGrown.
3. Which proposal is the best choice for HomeGrown given the data collected?
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