(12%) Rainbow products shouldn’t go for it. (B) Based on the perpetuity formula we can compute the PV in this case : Computation of the PV : PV= Cash flow per year/ cost of capital) =4‚500 / 0.12 = $37‚500 Computation of the NPV : NPV= -Initial investment + PV = -35‚000 + 37‚500 NPV=$2‚500 Rainbow products could buy this machine with the service contract if they intent to use it in the long-run. (C) Computation of the PV : PV= C/ k-g In this case C (end of year perpetuity payout) = 5‚000-1‚000=
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We examined the decision to invest in the Tri-Star project by forecasting the cash flow associated with the project for a volume of 210 planes. We also asked what a valid estimate of the NPV of the Tri-Star project at a volume of 210 planes as of 1967 would be. We found this to be -$584 M. This was clearly an unacceptable NPV for capital budgeting on the project. A break-even analysis revealed that the project reached economic break-even with the production of 275 planes at $12.5 M per unit but
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Investment Analysis and Lockheed Tri Star Key facts * 1971 ‚company found itself in congressional hearing seeking a $250 million to secure bank credit required for completion of the L-1011 tri star program COSTS * Pre-production i.e. from 1967 to 1971 estimated cost $900 million‚ * From 1972-1977 the total plans delivered was 210. * The average unit production cost per aircraft would be about $14 million. Inventory intensive production costs would be $490 million. (35 aircrafts
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: PV= Cash flow per year/ cost of capital) =4‚500 / 0.12 = $37‚500 Computation of the NPV : Is this essay helpful? Join OPPapers to read more and access more than 470‚000 just like it! GET BETTER GRADES NPV= -Initial investment + PV = -35‚000 + 37‚500 NPV=$2‚500 Rainbow products could buy this machine with the service contract if they intent to use it in the long-run. (C) Computation of the PV : PV= C/ k-g In this case C (end of year perpetuity
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others” . In this case‚ it is evident the President of Tri-Star has engaged in unethical acts and practices. As outlined below‚ it is examined how the President of Tri-Star‚ despite fulfilling her legal obligations‚ breached her ethical duties that would ultimately impact the company‚ its employees‚ and its consumers. One of the main issues in this case is regarding the safety testing for the new battery. From a legal perspective‚ Tri-Star was not required to perform safety testing according to
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Assignment 031 Task A Write a report that gives an overview of how the social‚ economic and cultural environment can impact on the outcomes and life chances of children and young people. A description of the social‚ economic and cultural factors . Poor social and cognitive skills from a very young age can have a big impact on the child’s life when they get older. When the child becomes an adult there is a probability that the individual has been in trouble with the police between ages
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Year 11 Visual Arts Explain how the Lockheed Lounge can be considered an artwork? Art is the process of deliberately arranging elements in a way that appeals to the senses or emotions. The Lockheed Lounge‚ by Marc Newson‚ portrays the inspiration from the aerospace industry and mercury idea. The main features of the artwork involve the shape and texture produced‚ which create another meaning to art. The Lockheed Lounge demonstrates the very unique shape of its freeform ideal of art combined
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Unit 031 Cleaning‚ decontamination and waste management The general principles for environmental cleaning are to prevent the spread of infection and reduce the risk of transmission between patients via reusable medical devices and other equipment‚ environment correct linen and waste disposal. The purpose of a cleaning schedule is to show what has been cleaned‚ how it has been cleaned‚ who has done the cleaning also when it has been cleaned. The schedule proves that everything has been cleaned in
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Investment Analysis and Lockheed Tri Star (Submission-1) by WMP 08009 Davinder Singh WMP 08022 Manish Kumar Singh WMP08035 Rahul Yadav WMP08036 Rajesh Ganvir A report submitted in fulfillment of the assignments for Financial management WMP 2015 Indian Institute of Management‚ Lucknow Noida Campus Date: 30.03.13 1. Rainbow Products | : | | | | | | | | Scenario 1 : Purchase of Paint- Mixing machine to reduce labor cost | |
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KIRSTY BAMFORD Assignment 031 Understand how to support positive outcomes for children and young people. TASK A a. A description of the social‚ economic and cultural factors- giving at least one example of each category. CULTURAL- Some religious beliefs and customs may exclude children from settings or may mean that they attend specific settings‚ aimed at their religious beliefs. And due to their religious customs and ceremonies/traditions children and adults may need time out of the setting
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