A Project Is Expected to Create Operating Cash Flows of $26,500

question 67

Multiple Choice

A project is expected to create operating cash flows of $26,500 a year for four years.The fixed assets required for the project cost $62,000 and will be worthless at the end of the project.An additional $3,000 of net working capital will be required throughout the life of the project.What is the project's net present value if the required rate of return is 12 percent?

• A)$19,208.11
• B)$14,028.18
• C)$15,306.09
• D)$17,396.31
• E)$21,954.17

Understand different sources of power in organizations and their effects on behavior.

Identify the role of political behavior in organizational dynamics.

Recognize common political tactics used within organizations.

Acknowledge the beneficial and harmful effects of political behaviors on organizational outcomes.

---

Definitions:

Dividends

Payments made by a corporation to its shareholder members. It can be issued in various forms, such as cash payment, stocks, or other forms.

Tax Deductible

Expenses that can be subtracted from gross income to reduce the taxable income, potentially lowering overall tax liability.

Net After-Tax Income

The amount of income that remains for a business or individual after all taxes have been deducted from total revenues.

Total Assets

The sum of all assets owned by a company, including both current and non-current assets, indicating the total resources at its disposal.