Thursday, March 28, 2024
07:15 PM (GMT +5)

Go Back   CSS Forums > CSS Optional subjects > Group I > Accounting & Auditing

Reply Share Thread: Submit Thread to Facebook Facebook     Submit Thread to Twitter Twitter     Submit Thread to Google+ Google+    
 
LinkBack Thread Tools Search this Thread
  #1  
Old Sunday, November 27, 2016
Junior Member
 
Join Date: Nov 2016
Posts: 1
Thanks: 0
Thanked 0 Times in 0 Posts
Foxen is on a distinguished road
Post introduction to business finance, need help solving this , can anyone calculate it

Now assume that xyz company wants to make a capital expenditure of Rs.500,000. Your company has the following capital structure:
Debt = 40%; rd = 8%
Preferred Stock = 10%; rps = 9%
Common Stock = 50%; rs = 11.6%
Tax Rate = 30%
Initial Cost of the project P0= Rs. 500,000

Cash Flows are:
1st Year 250, 000
2nd Year 150,000
3rd Year 125,000
4th Year 100,000
5th Year 50,000

Calculate the following for your company:
a) WACC
b) Net Present Value (NPV)
c) Internal Rate of Return (IRR)
d) Regular Pay Back Period
e) Discounted Pay Back Period
f) Price Index (PI)
Reply With Quote
Reply

Tags
accountancy, accounting, accounting and auditing, business finance, financial accounting

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On


Similar Threads
Thread Thread Starter Forum Replies Last Post
development of pakistan press since 1947 Janeeta Journalism & Mass Communication 15 Tuesday, May 05, 2020 03:04 AM
Help in public Finance required Islaw Khan Topics and Notes 4 Saturday, April 18, 2009 09:56 AM
C++ portability guide sibgakhan Computer Science 5 Friday, January 26, 2007 07:52 PM
Essays on Essay Writing atifch Essay 6 Friday, December 22, 2006 11:24 PM


CSS Forum on Facebook Follow CSS Forum on Twitter

Disclaimer: All messages made available as part of this discussion group (including any bulletin boards and chat rooms) and any opinions, advice, statements or other information contained in any messages posted or transmitted by any third party are the responsibility of the author of that message and not of CSSForum.com.pk (unless CSSForum.com.pk is specifically identified as the author of the message). The fact that a particular message is posted on or transmitted using this web site does not mean that CSSForum has endorsed that message in any way or verified the accuracy, completeness or usefulness of any message. We encourage visitors to the forum to report any objectionable message in site feedback. This forum is not monitored 24/7.

Sponsors: ArgusVision   vBulletin, Copyright ©2000 - 2024, Jelsoft Enterprises Ltd.