The initial investment of a project is OMR 350,000 and its cash inflows are OMR 225,000 per year. In this case, the payback period of the project is: a. 0.642 years b. 1.55 years c. None of these d. 4 years

Q: A project has estimated annual cash flows of $90,000 for 3 years and is estimated to cost $250,000.…

A: Net Present value = Present value of annual cash inflows - Initial investment Present value index =…

Q: The total investment required for a project is estimated at OMR 90, 000. The cash flows expected…

A: Investment = 90000 Free cash flow (year 1) = 18000 Balance after 1 year= 90000-18000=72000 Free cash…

Q: he irr of the project is 12% and the present value of operating cash flow is $ 22000 the life of the…

A: Break-even point is calculated by dividing the fixed cost by the contribution margin.

Q: The total investment required for two projects are estimated at OMR100, 000. The cash flows expected…

A: Payback Period = Years before full recovery + (unrecovered cost at the start of the year/ cashflow…

Q: ODiem Project L requires an initial outlay at t = 0 of $57,771, its expected cash inflows are…

A: Initial cost = $57,771 Annual cash inflow = $12,000 WACC = 12% Period = 8 Years

Q: The total investment required for two projects are estimated at OMR100, 000. The cash flows expected…

A: Year Cash flow Cumulative cash flow 1 18000 18000 2 28500 46500 3 42000 88500 4 48000 136500

Q: A project has estimated annual net cash flows of $54,000. It is estimated to cost $270,000.…

A: Formula to calculate payback period :Payback period = Inital investment / Annual net cash flows

Q: An investment project provides cash inflows of $1325 per year for eight yea payback period if the…

A: Year cash flow 1                            1                       1,325.00 2…

Q: Project A costs $41400, its expected net cash inflows are $13400 per year for 8 years, and its WACC…

A: Here, The present value of net cash inflows is 'PVCI' Future value is 'FV' Cost of capital is 'r'…

Q: Firm x has made an investment of $ 300.000 . It is thought that the project will provide $170.000…

A: Present value is the sum of future cashflows discounted at discount rate

Q: onsider the following project. Costs: $100,000, at time t = 0. $45,000, at time t = 4. Income: Three…

A: The question is based on the concept of calculating the future value of cash flows in a project at…

Q: Project A requires an original investment of $57,700. The project will yield cash flows of $16,600…

A: Calculation of Net Present Value of Project A  Net Present value = Present Value of cash inflows -…

Q: What is the payback period for each project? Project A: _____ years Project B: _____ years

A: Payback Period: The payback period refers to the time required by an investment to cover its initial…

Q: The initial investment of a project is OMR 50,000. The profit after interest and tax (Cash inflows)…

A: Option a is correct.

Q: A project has estimated annual net cash flows of $69,900. It is estimated to cost $817,830.…

A: Cash payback period = Initial investment / annual net cash flows

Q: A given project requires an initial investment of 29800 in order to collect the following cash…

A: The first question is answered for you. Please resubmit specifying the question number you want…

Q: The investment required for a project is estimated at OMR 38,000. The cash flows expected from the…

A: Payback period = Years before payback period + (cumulative cash flow in the year before recovery)/…

Q: The total investment required for two projects are estimated at OMR100, 000. The cash flows expected…

A: Using excel for calculations

Q: A project has estimated annual net cash flows of $66,600. It is estimated to cost $466,200.…

A: The payback period is the estimated period in which the investment is expected to be returned fully.…

Q: The total investment required for two projects are estimated at OMR90, 000. The cash flows expected…

A: Payback period is period required to recover initial costs.

Q: an investment project provides cash inflows of $850 per year for 5 years. What is the project…

A: Initial cost = $5600 Annual cash inflow = $850 Period = 5 Years

Q: A project has an initial outlay of $1,567. The project will generate annual cash flows of $443 over…

A: Net present value (NPV) refers to a series of cash flows that occurs at different times. We can…

Q: Click to see additional instrùctions The internal rate of return, rounded to two decimal places as a…

A: Internal Rate of Return The internal rate of return refers to the exact return that an investment…

Q: A project has estimated annual net cash flows of $65,700. It is estimated to cost $762,120.…

A: Cash payback period - Cash payback period = Initial investment/ cash flows per year    Cash payback…

Q: A certain project has a payback of 8 years. The project will generate cash earnings after taxes as…

A: The payback period is the amount of time required to recover the cost of investment. It is used to…

Q: An investment of P350,000 is made to be followed by payments of P200,000 each year for 3 years. What…

A: In this we have to calculate internal rate of return on investment.

Q: A project has estimated annual net cash flows of $63,800. It is estimated to cost $740,080.…

A: Calculation of Cash payback period is to find the time required to recover the initial investment in…

Q: The initial investment of a project is OMR 30,000. The profit after interest and tax (Cash inflows)…

A: NPV is the sum of present value less initial investment

Q: Project A requires an original investment of $66,800. The project will yield cash flows of $19,800…

A: Net Present Value: The difference between the value of cash today and the worth of cash at a future…

Q: A company is considering the purchase of equipment for $270,000. Projected annual cash inflow from…

A: Payback period: It can be defined as the time that is usually taken by an investment before it…

Q: Rainbow Co. Ltd is considering a project that calls for an initial investment of $100,000. The…

A: IRR is the internal rate of return. It is the rate of return at which present value of cash inflows…

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A: The average accounting return or average rate of return is an accounting metric which helps in…

Q: The capital cost of a certain project is $625,000 and the annual expenses are $33,000. If the study…

A: Capital Cost = -625,000 Annual Expenses = -33,000 Time Period (N) = 11 years Interest Rate = 7.25%…

Q: A project requires a $41,000 initial investment and is expected to generate end-of-period annual…

A: Introduction:- Net present value means as follows under:- Net present value is a tool of Capital…

Q: An investment project provides cash inflows of $740 per year for 9 years.   What is the project…

A:

Q: P11-1. What is the project's NPV?   P11-2. What is the project's IRR?   P11-3. What is the project's…

A: As per my view.... Inflows given in question is 12000 , not 1200 So I give solutions assuming 12000…

Q: A project is estimated to cost $251,272 and provide annual net cash flows of $56,000 for eight…

A: Internal rate of return is a technique which define rate of return earned by a project for a period.

Q: A four-year project has an initial cost of $20 000, net annual cash inflows of $10 000, and a…

A: IRR (internal rate of return) It is a capital budgeting tool to decide whether the capital budget…

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A: Dear student we need to use excel to solve these problems

Q: The IRR of the project is 12% and the present value of operating cash flow is $22,000. The life of…

A: Financial breakeven is a point at which EPS of the company is equal to zero. It is a level before…

Q: A project requires an initial investment of $322,990 and its expected life is 7 years. Net operating…

A: Annual cash inflow = Net operating income + depreciation = $28100 + 42270 = $70,370

Q: The investment required for a project is estimated at OMR 50,000. The cash flows expected from the…

A: Year Cash flow Cumulative cash flow 0 OMR- 50000 OMR -50000 1 22000 -28000 2 24000 -4000 3…

Q: The total investment required for a project is estimated at OMR100, 000. The cash flows expected…

A: The payback period is the amount of time required for cash inflows generated by a project to…

Q: The total investment required for two projects are estimated at OMR90, 000. The cash flows expected…

A: Payback Period = Years before full recovery + (unrecovered cost at the start of the year/ cashflow…

Q: The total investment required for two projects are estimated at OMR90, 000. The cash flows expected…

A: Year Cash flow cumulative cash flow 1 25000 25000 2 38500 63500 3 42000 105500 4 48000…

Q: Calculate the payback period

A: Payback period is the number of period in which the aount invested shall be recovered through income…

Q: payback period

A: Payback period = Present investment/Cash inflows per year

Q: The total investment required for two projects are estimated at OMR100, 000. The cash flows expected…

A: Using excel for cumulative cash flow

Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.