Ma Ch16 Hw11 Value 1428 Points Jack And Jill's Place Is A No

Ma Ch16 Hw11value1428 Pointsjack And Jills Place Is A Nonprofit Nur

Ma Ch16 Hw11value 14.28 points Jack and Jill's Place is a nonprofit nursery school run by the parents of the enrolled children. Since the school is out of town, it has a well rather than a city water supply. Lately, the well has become unreliable, and the school has had to bring in bottled drinking water. The school's governing board is considering drilling a new well (at the top of the hill, naturally). The board estimates that a new well would cost $2,825 and save the school $500 annually for 10 years. The school's hurdle rate is 8 percent. Use Appendix A for your reference. Required: a. Compute the new well's net present value. (Round "PV Factor" to 3 decimal places, intermediate and final answers to the nearest whole dollar amount. Omit the "$" sign in your response.) Net present value $ b. Should the governing board approve the new well? Yes No 2.value: 14.28 points Vancouver Shakespearean Theater's board of directors is considering the replacement of the theater's lighting system. The old system requires two people to operate it, but the new system would require only a single operator. The new lighting system will cost $129,750 and save the theater $27,000 annually for the next eight years. Use Appendix A for your reference. Required: 1-a. Prepare a table showing the proposed lighting system's net present value for each of the following discount rates: 8 percent, 10 percent, 12 percent, 14 percent, and 16 percent. (Input all amounts as positive values except negative amounts of Net Present Value. Round the "Discount factor" to 3 decimal places and other answers to the nearest dollar amount. Omit the "$" sign in your response.) Discount Rate Annuity Discount Factor Annual Savings Present Value of Annual Savings Acquisition Cost Net Present Value 8 % $ $ $ $ 10 % 12 % 14 % 16 % 1-b. Comment on the Net Present Value pattern. The net present value declines as the discount rate increases. The net present value increases as the discount rate increases. [The following information applies to the questions displayed below.] In December of 20x4, Atlas Chemical Corporation sold a forklift for $9,255. The machine was purchased in 20x1 for $50,000. Since then $38,845 in depreciation has been recorded on the forklift. 3.value: 14.28 points 1. What was the forklift’s book value at the time of sale? (Omit the "$" sign in your response.) Book value $ eBook Link references Worksheet Difficulty: Easy Learning Objective: 16-04 Determine the after-tax cash flows in an investment analysis. 4.value: 14.28 points 2. Compute the gain or loss on the sale. (Input the amount as positive value. Omit the "$" sign in your response.) on sale $ eBook Link references [The following information applies to the questions displayed below.] The management of Niagra National Bank is considering an investment in automatic teller machines. The machines would cost $124,200 and have a useful life of seven years. The bank's controller has estimated that the automatic teller machines will save the bank $27,000 after taxes during each year of their life (including the depreciation tax shield). The machines will have no salvage value. Use Appendix A for your reference. rev: .value: 14.28 points Required: 1. Compute the payback period for the proposed investment. (Round your answer to 1 decimal place.) Payback period years eBook Links (3) references Worksheet Learning Objective: 16-01 Use the net-present-value method and the internal-rate-of-return method to evaluate an investment proposal. Learning Objective: 16-08 Use the payback method and accounting-rate-of-return method to evaluate capital investment projects. Difficulty: Easy Learning Objective: 16-06 Evaluate an investment proposal using a discounted-cash-flow analysis, giving full consideration to income-tax issues. 6. value: 14.28 points 3. Which of the following statements are true? (You may select more than one answer. Click the box with a check mark for the correct answer and click to empty the box for the wrong answer.) The net-present-value method is preferable to the payback method. The payback method is preferable to the net-present-value method. The payback period criterion fails to account for the time value of money. If management uses the payback method, the investment will be approved only if the required payback period is 4.6 years or more. The cut-off value for the payback period is very much dependent on the bank's hurdle rate. The cut-off value for the payback period has nothing to do with the bank's hurdle rate. [The following information applies to the questions displayed below.] Metro Car Washes, Inc. is reviewing an investment proposal. The initial cost as well as the estimate of the book value of the investment at the end of each year, the net after-tax cash flows for each year, and the net income for each year are presented in the following schedule. The salvage value of the investment at the end of each year is equal to its book value. There would be no salvage value at the end of the investment’s life. Year Initial Cost and Book Value Annual Net After-Tax Cash Inflows Annual Net Income 0 $ 105,,000 $ 50,000 $ 15,,,,,,,,,,,,000 Management uses a 16 percent after-tax target rate of return for new investment proposals. Use Appendix A for your reference. rev: . value: 14.32 points 2. Calculate the accounting rate of return on the investment proposal. Base your calculation on the initial cost of the investment. (Round your answer to 1 decimal place. Omit the "%" sign in your response.) Accounting rate of return % eBook Links (3) references - (Click to select) 0 -2-2 checked unanswered unanswered unanswered unanswered unanswered 0 Case Study #1: “Your Turn – The Customer-Service Agent†Requirements: · Only Read Pages 1 – 6 of attached PDF for this Case Study · Answer Questions 1 - 7. (See “Case Study 1†PDF Attachment) Content Requirements: Sections fully integrated answering the case questions · Introduction · Analysis · Conclusion Demonstrate an in-depth analysis of the case issues answering each of the case questions as instructed. Format Requirements : No word limit , however you must answer question 1-7 and provide an in-depth analysis · APA 6th Edition Style · Use three main headings: · Introduction · Introduction should briefly discuss the case background · Analysis · Analysis should have answers to each question with subheadings for each Question showing the related answer. · Conclusion · Conclusion should be a brief summary of the main points you learned from the case in relation to human resource management and compensation practice.