Examlex
Margarite's Enterprises is considering a new project that will require $345,000 for new fixed assets,$160,000 for inventory,and $35,000 for accounts receivable.Short-term debt is expected to increase by $110,000.The project has a 5-year life.The fixed assets will be depreciated straight-line to zero over the life of the project.At the end of the project,the fixed assets can be sold for 25 percent of their original cost.The net working capital returns to its original level at the end of the project.The project is expected to generate annual sales of $550,000 and costs of $430,000.The tax rate is 35 percent and the required rate of return is 15 percent.
What is the cash flow recovery from net working capital at the end of this project?
Inclusion Terms
Used in classifications and dictionaries to specify terms that are covered under a particular category or definition.
Excludes 1
A term used in medical coding to signify that certain conditions cannot be coded together because they are mutually exclusive.
Alphabetic Index
A list of words or phrases arranged in alphabetical order, used for reference in books, documents, or databases.
Tabular List
A systematic arrangement of data in rows and columns, commonly used for easy reference and analysis.
Q15: Wilson's is reviewing a project with an
Q39: A firm has total assets of $262,000,long-term
Q43: You have been awarded monthly payments of
Q45: The discount rate for a project should
Q51: Academic theory states that net present value
Q51: A firm has total equity of $1,890,net
Q52: You are considering a new project.The project
Q58: A zero coupon bond has a yield
Q70: For the period 1926-2012 small-company stocks had
Q71: Jensen's Boats has sales of $387,000,cost of