Posted: February 22nd, 2022

Net Present Value Method Assignment

I don't need number 1 answered I included it because the total cost of equipment used for the other 2 problems is answered here.

1. Compute the total cost of the equipment that Ford recommends dealers buy:

Based on the costs in the article

 

The total cost is 1678+ 7994+ 3329+ 10125+ 7950+ 7729= 38,805

2. If a dealership is looking for payback of no more than 3 years, how much annual cash flow must the dealership generate from this investment?

Is It Legal to Use Your Writing Service?

Absolutely, it’s 100% legal! Our service provides sample essays and papers to guide your own work—think of it as a study tool. Used responsibly, it’s a legit way to improve your skills, understand tough topics, and boost your grades, all while staying within academic rules.

3. If a dealership requires a 10% return on its investments and is looking at a 3-year time frame, how much annual cash flow must be generated from the investment using the net present value method?

 

Present Value of $1 Period 8% 10% 12% 14% 16% 0.926 0909 0.893 0.877 0.862 0.847 0.857 0.826 0.797 0.769 0.743 0.7180.694 3 0.794 0.751 0.712 0.675 0.641 0.609 0.579 0.683 0.636 0.592 0.552 0.516 5 0.681 0.621 0.567 0.519 0.476 0.437 0.402 0.564 0.507 0.456 0.410 0.370 0.583 0.513 0.452 0.400 0.354 0.314 0.540 0.467 0.404 0.351 0.305 0.266 9 0.500 0.424 0.361 0.308 0.263 0.225 0.194 Present Value of an annuity of $1 Period 8% 10% 12% 14% 16% 18% 20% 0.926 0.909 0.893 0.877 0.862 0.847 0.833 1.783 1.736 1.690 1.647 1605 1.566 1.528 2.577 2.487 2.402 2.322 2.246 2.174 2.106 3.312 3.170 3.037 2.914 2.798 2690 2.589 3.993 3.791 3.605 3.433 3.274 3.127 2.991 4.623 4.355 4.111 3.889 3.685 3.498 3.326 5.206 4.868 4.564 4.288 4.039 3.812 3.605 8 5.747 5.335 4.968 4.639 4.344 4.078 3.837 9 6 .247 5.759 5.328 4.946 4.607 4.303 4.031 OWN. Get Accounting homework help today

Tags: 1500 Words Assessment Task, Ace Homework Tutors, Assignment Homework Help & Answers, Bishops Writing Bureau