[hake304]

Thank you so much and have a great day! ^^

[hake304]

Dear tutor,
Can you help me to answer these questions:
1. A project requires an investment of $24,000 at time 0, & generates an inflow of $5,000 per year for 8 years ( with the first inflow occurring in one year time). What is the internal rate of return?
2. the share price is $4/share. the company announce a 1 for 5 rights issue at $3.1/share. What % of the rights offered to shareholder dose the shareholder need to take up so as to have no net cash flow resulting from the issue?
3. A machine cost $72,000 and have maximum 3 yrs life. the running cost: Yr1: $7200, Yr2:$9600, Yr3:$12000. The estimated scrap value: after yr1-24000, afteryr2-16600, after yr3-9600. the cost of capital 15%. What is the equivalent annual cost if the company decides to replace the machine every 2 yrs?

Thank you!
BR,

[hake304]

thank you so much, tutor!! ^_^

[hake304]

Thank you so much!
And I will watch the free lecture as you suggested. ^^

BR,

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