The management of Revco Products is exploring four different investmen (1).docx

•Download as DOCX, PDF•

0 likes•4 views

The management of Revco Products is exploring four different investment opportunities. Information on the four projects under study follows: Project Number Because the companyâ€™s required rate of return is 10%, a 10% discount rate has been used in the present value computations above. Limited funds are available for investment, so the company canâ€™t accept all of the available projects. Compute the project profitability index for each investment project Rank the four projects according to preference, in terms of net present value, project profitability index and internal rate of return. Solution 1. PI = Present value of cash inflows / Present value of cash outflows Project 1 = 530,740 / 400,000 = 1.33 Project 2 = 442,440 / 350,000 = 1.26 Project 3 = 303,280 / 250,000 = 1.21 Project 4 = 443,800 / 370,000 = 1.20 2. Ranking .

Education

Similar to The management of Revco Products is exploring four different investmen (1).docx

Durgesh Vaish

Capital budgeting

sindhu793209

Capital Budgeting

Amit Jaiswal

Investment Decisions I.pptx

ssuser2bba051

Cfd ppt

himanshujaiswal

Investment decision

himanshujaiswal

Capital budgeting methods lecture notes

Warui Maina

Net Present Value Vs Profitability Index

Aseem R

Understand the nature and importance of investment decisions. Distinguish between discounted cash flow (DCF) and non-discounted cash flow (non-DCF) techniques of investment evaluation. Explain the methods of calculating net present value (NPV) and internal rate of return (IRR). Show the implications of net present value (NPV) and internal rate of return (IRR). Describe the non-DCF evaluation criteria: payback and accounting rate of return and discuss the reasons for their popularity in practice and their pitfalls. Illustrate the computation of the discounted payback. Describe the merits and demerits of the DCF and Non-DCF investment criteria. Compare and contract NPV and IRR and emphasise the superiority of NPV rule.

Capital Budgeting Decisions

PANKAJ PANDEY

Investment Decisions as a technique of capital budgeting to make decision whether and how to invest available funds in long term or short term while anticipating high returns. The study aim was to about choosing the profitable and suitable projects with higher possible returns and risk for their investments on various projects. K Mahesh Kumar | Dr. P. Basaiah "A Study on Investment Decisions of Different Projects at Chakravuyha Software Technologies Pvt Ltd" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-5 | Issue-5 , August 2021, URL: https://www.ijtsrd.com/papers/ijtsrd45111.pdf Paper URL: https://www.ijtsrd.com/management/accounting-and-finance/45111/a-study-on-investment-decisions-of-different-projects-at-chakravuyha-software-technologies-pvt-ltd/k-mahesh-kumar

A Study on Investment Decisions of Different Projects at Chakravuyha Software...

ijtsrd

Week 11-800-Flowers.com Inc.Financial Ratios2014201320122011Current Ratio1.241.221.351.21Debt Ratio0.300.320.390.45Quick Ratio0.450.490.700.60Debt-Equity Ratio0.440.480.640.81Total Asset Turnover0.730.750.690.68Profit Margin8%7%10%3%Inventory TurnoverReturn on Assets6%5%7%2%Receivables Turnover14.6112.4812.1911.44Return on Equity8%7%11%4% Return on Assets & Equity Analysis Re turn on Assets 2014 2013 2012 2011 5.7450601527082736E-2 4.9269613272924305E-2 6.6626895426810856E-2 2.2268837249125321E-2 Return on Equity 2014 2013 2012 2011 8.2592763730536548E-2 7.2788605254296368E-2 0.10909563023963202 4.0392203923451053E-2 Profit Margin 7.889266963309674E-2 6.5986503856041129E-2 9.6684053651266769E-2 3.2742420947824993E-2 Week 2Question(a) PV= FV/ (1+0.085)^6$24000/1.6315pv= $14710.389thus, $14710.39 will be worth$24000 in 6 years at rate of 8.5%Pv= $14710.389Question(b)Pv = $12000FV = $24000period 7 yearsIRR=?IRR = (FV/PV)^(1/N)^-1IRR = (24000/12000)^(1/7)^-12^0.414286 -1IRR= 0.104092IRR = 10.41%The rate of return is 10.41% more than the previous return rate, therefore the deal is good and should continue.Question ©( c) Dividents = $ 4.25currently selling at $ 36 per shareheld for 5 yearsgrowth rate 3%required return 11%maximum price?( divident *(1+ growth)( future dividents / (expected rate of return- growth rate)4.25*(1+0.03)= 4.37754.3775/ (0.11-0.03)price per share = 54.7185question (d )Bonds per value = $1000maturity = 16 yearscoupon rate- 5%currently selling at $987callable next 4 yearscall price 105YTM = [ (face value/bond price)^1/n]-1 =[(1000/987)1/16]-1 =5.12%calculating the YTCYTC = Call price (105% of 1000)YTC = (Annual interest + (call price- markert price)/ number of years to call)/[call price + market price]/ 2YTC =( 5 + (105-987)/4)/ (105+987)/2YTC= -30.46 Week 31)Year0Initial investment3120002)Year123456Cost saving105500105500105500105500105500After tax saving6857568575685756857568575Deprectiation62,40099,84059,90435,94235,94217,971Tax saving due to depreciation21,840.003494420966.412579.8412579.846289.92After-tax operating cash flows9041510351989541.481154.8481154.846289.923)Year5Salvage value25,000.00WCI11,000.00Book value17,971.20Tax on profit on sale of asset2,460.08Terminal cash flows33,539.924-6)Disc rate11.99%YearCash flowCumulative cashflows0(323,000.00)-3230001$90,415.00-2325852103519-129066389541.4-39524.6-0.4870270214-5.8443242572481154.8441630.245114694.76NPV18,509.65IRR15%Payback period3 Y 6 months7)Initial investment323,000.00Presnet value of future cash flows341,509.65PI1.06 1 2 3 4 5 6 7 8 9 A B 1) Year 0 Initial investment 312000 2) Year 1 Cost saving 105500 After tax saving 68575 Deprectiation 62,400 Tax saving due to depreciation 21,840.00 WEEK 1 The company I choose is 1-800-Flowers.com. This falls in either the industry of Other Personal Services or Other Online Retailers. From what I found, this company is not very profitable. The profit margin has ranged between 3% and 10%.

Week 11-800-Flowers.com Inc.Financial Ratios2014201320122011Curren.docx

melbruce90096

UNIT-1-FDM.pptx

PatelNikunj32

Investment

Lymie Grace Ambatang

PMI-ACP Lesson 08 Nugget 1 Agile & Scrum Value-based Prioritization

Thanh Nguyen

Ch 08

kpserver

financial analysis of company

ArhamAli38

Phases of project management

Jyoti Gupta

Capital Budgeting - With Real World Examples

sunil Kumar

LECTURE 4 (2).pptx

haiqamalik

UNIT-4 Capital Budgeting.pdf

PralayMondal3

Similar to The management of Revco Products is exploring four different investmen (1).docx (20)

Capital budgeting

Capital Budgeting

Investment Decisions I.pptx

Cfd ppt

Investment decision

Capital budgeting methods lecture notes

Net Present Value Vs Profitability Index

Capital Budgeting Decisions

A Study on Investment Decisions of Different Projects at Chakravuyha Software...

Week 11-800-Flowers.com Inc.Financial Ratios2014201320122011Curren.docx

UNIT-1-FDM.pptx

Investment

PMI-ACP Lesson 08 Nugget 1 Agile & Scrum Value-based Prioritization

Ch 08

financial analysis of company

Phases of project management

Capital Budgeting - With Real World Examples

LECTURE 4 (2).pptx

UNIT-4 Capital Budgeting.pdf

More from delicecogupdyke

You have been learning about Urie Bronfenbrenner this week. Let's make it real to your life experiences. Reflect on your own childhood. 1.Identify one microsystem, one mesosystem, one exosystem and your primary macrosystem. 2.Give one example of how each of these impacted your development. 3.Remember an event in your lifetime that had an impact on you. (President Obama's election or Trump's election, events of January 6, fires, birth of a sibling, divorce of parents, pandemic, major storms etc. ) If you need more ideas, you may google "chronosystem". Tell me how that impacted your development. .

You have been learning about Urie Bronfenbrenner this week- Let's mak.docx

delicecogupdyke

You encounter a flat green organism growing on a rock with no obvious.docx

delicecogupdyke

You are the PR specialist for St- John's Ambulance- The organization w.docx

delicecogupdyke

You are the CFO of a large academic medical center and your organization is in the process of implementing a new electronic health record (EHR) and practice management (PM) system. Several of your providers are complaining about conversion to the new EHR and PM system and are being resistant to change. Review "Perspective 13.5: Financial Benefits From IT," PRESENTED BELLOW -Utilize professional research to analyze opportunities for your organization based on potential profits and risks. Include a discussion on improved quality of care that may be realized. PERSPECTIVE 13.5 FINANCIAL BENEFITS FROM IT Investment in IT is considered a driving factor in improving patient care; the critical question asked by CEOs, CFOs, and board members is whether hospitals achieve a financial return from their IT investments. The inability to measure and account for financial benefits from IT investments has led some hospital administrators to avoid making these types of capital investments that can provide more efficient, higher-quality care and also improve patient and provider satisfaction. One health care system that decided to make this investment is Banner Health, which implemented an IT system at its newest hospital, Banner Estrella Medical Center in Phoenix, Arizona. By investing in IT and receiving input from physicians, pharmacists, nurses, informaticists, and other clinicians, the hospital was able to design new work flows and establish evidence-based order sets. The improved IT design and standard order sets were implemented across departmental functions such as care management, clinical documentation, computerized provider order entry (CPOE), nursing order management, and medication administration and scheduling, and also across processes in departments such as health information management, emergency services, obstetrics, pediatrics, pharmacy, and surgery. This IT investment resulted in a $2.6 million cost savings from greater retention of nurses, which lowered the costs of recruiting, hiring, and training new nurses, and from reducing accounts receivable billing by one day, which resulted in faster payment; decreasing the incidence of adverse drug events, length of stay, and pharmacy costs; decreasing overtime expenses for nurses as a result of improving their efficiency in charting and shifting tasks; and reducing forms costs because information was digitized. .

You are the CFO of a large academic medical center and your organizati (1).docx

delicecogupdyke

You are on a field trip with your bio class. Your water sample from a pond contains many small green cells that swim using flagellae. You ask your professor what they are. Your professor, who can be annoying at times, tells you that they are members of the Excavata and that the green color comes from chlorophyll and then asks you what they are. What are they? Diatoms Euglena Giardia Dinoflagellates Clear my selection .

You are on a field trip with your bio class- Your water sample from a.docx

delicecogupdyke

You are fortunate to travel to a tropical forest. You find an insect on the porch of your cabin. Is this insect likely to officially listed as an endangered or threatened species? Why of why not? No it is not likely because most insects are abundant. Yes it is likely because it occurs in the tropics in a threatened habitat. No it is not likely, because there is very little data on most insect species. Yes it is likely because most organisms are now under threat Clear my selection .

You are fortunate to travel to a tropical forest- You find an insect o.docx

delicecogupdyke

You are a Government employee working in the Human Resources department. Your supervisor has asked you to create a new form for new job applicants. Create the form using the knowledge you have gained about forms creation. Ensure layout and format is done according to standard. The information that needs to be collected on the form includes: Name and Address Social Insurance Contact Information Job Type Availability Past employment with Government Former convictions Drivers License Information Past accidents/moving violations Employment History Education .

You are a Government employee working in the Human Resources departmen.docx

delicecogupdyke

You are a genetic cownselar. A single mother cnmes to vou, where both of her dinghters have a shis divorder, but skin and tuei Mom do net. hays. this diserder. What can vou absolutely, definitely conclude, without ary hesitation or second thoughts? the gene is x -Hinhed recessive the gene is autosomal recessive the gene is autosomat dominant the gene is X-linked dominant No defirite conclusions can be made with this limited information .

You are a genetic cownselar- A single mother cnmes to vou- where both.docx

delicecogupdyke

Write the following report that can be a powerpoint presentation: The government of St. Kitts and Nevis are looking create cybersecurity laws for the country. Find the following: What is Cybercrimes? Different types of Cybercrimes and how dangerous they are? Laws and regulations for cybercrime including relevant punishments. How these laws and reguations can protect a country. And why is it important to have cybercrimes. How cybercrimes have advance over the years. Social Media (ex. how Russia used Facebook as a weapon against the US) How we can use Social Media responsible. Laws and regulations against the distrubtion and sharing of confidential information like pictures and videos. How government can work with the private sector and to secure the country and at what cost. Try and make it into a slides for powerpoint presentation. Thank you. The government of St. Kitts and Nevis are looking create cybersecurity laws for the country. Find the following: What is Cybercrimes? Different types of Cybercrimes and how dangerous they are? Laws and regulations for cybercrime including relevant punishments. How these laws and reguations can protect a country. And why is it important to have cybercrimes. How cybercrimes have advance over the years. Social Media (ex. how Russia used Facebook as a weapon against the US) How we can use Social Media responsible. Laws and regulations against the distrubtion and sharing of confidential information like pictures and videos. How government can work with the private sector and to secure the country and at what cost. Try and make it into a slides for powerpoint presentation. Thank you. .

Write the following report that can be a powerpoint presentation-The g.docx

delicecogupdyke

Write two functions using the Front and Back Linear Search algorithms-.docx

delicecogupdyke

xpected to grow geometrically? (Assume that interactions ith other species can be ignored.) A large population of finches that breeds once a year and lives on an island with limited food A small population of finches that breeds once a year and lives on an island with abundant food A small population of finches that breeds continuously and lives on an island with abundant food A small population of finches that breeds continuously and lives on an island with limited food .

xpected to grow geometrically- (Assume that interactions ith other spe.docx

delicecogupdyke

Write the pseudocode for Python for the following: from Celsius to Fahrenheit and Kelvins [20 points] from Fahrenheit to Celsius and Kelvins [20 points] from Kelvins to Celsius and Fahrenheit [20 points] You must use the IF, ELSE, ELIF statements or a combination of these statements. [10 points] You must use functions [at least three functions] [20 points] You must have error trapping routine(s) [10 points] .

Write the pseudocode for Python for the following- from Celsius to Fah.docx

delicecogupdyke

Write the definition of the linkedListKeepLast function- (Please write.docx

delicecogupdyke

Write SQL commands that convert the Database schema to Tables with the.docx

delicecogupdyke

write the adjusting entries for following Given Data: MAGLIOCHETTI MOVING CORP. Statement of Earnings Statement of Financial Position For the Period Ended December 31, 2020 At December 31, 2020 Transportation revenue$90,000 Expenses: Salaries expense15,000 Maintenance expense14,000 Other expenses20,000 Total expenses$49,000 Net earnings$41,000 ASSETS cash 2000 receivables 3000 inventory of maintenances supplies 5000 equipment 45000 prepaid expenses 5000 other assets 25000 total assets 85000 Total assets $85,000 Liabilities Accounts payable $9,000 Shareholders' Equity Contributed capital (10,000 shares outstanding) 35,000 Retained earnings 41,000 Total liabilities and shareholders' equity $85,000 Additional information: Number of shares 10000 (a)Maintenance supplies on hand, December 31, 2020 $3,000 (b)Prepaid insurance at December 31, 2020 $2,500 (Total insurance premium paid in 2020 was debited to Prepaid Insurance) (c)Cost of equipment purchased on January 1, 2020 $45,000 Unrecorded depreciation expense for 2020 $9,000 (d)Unpaid (and unrecorded) salaries at December 31, 2020 $1,500 (e)At December 31, 2020, transportation revenue collected in advance (credited to Transportation Revenue when cash was received) $5,000 (f)Income tax rate 30% adjusting entries .

write the adjusting entries for following Given Data-.docx

delicecogupdyke

Write python code to collect 1000 posts from Twitter- or Facebook- or.docx

delicecogupdyke

write one to two paragraphs on the significance about Jati Explain how.docx

delicecogupdyke

Write in C++ Calculate the mean of a vector of floating point numbers.docx

delicecogupdyke

Write down the code that will count the number of clicks for a LIKE bu.docx

delicecogupdyke

Write declarations for variables p1 and p2 whose values will be addres.docx

delicecogupdyke

More from delicecogupdyke (20)