[leebickle]

Thank you very much gromit your a star!

[leebickle]

Thank you very much for the reply Mr Moffat.

Sorry for the delay in response.

I just wanted to clarify a couple of things with you:

On no. 3, I calculate the NPV of the project to be $5,320 and the PV of cash flows to be $30,320. $5,320 / $30,320 x 100 = 17.55%. Am I on the wright track?

Also, on no. 6 I am still unsure where the error I have made is. My workings are below

Year 2
Scrap value 16,600
Running costs (9,600)
Net CF 7,000
DF 15% 0.756
PV 5,292

PV 5,292
Less cost of machine (72,000)
Net CF (66,708) / 1.626 = $41,026

Could you please advise where my error is!

Thanks a lot Sir

[leebickle]

Thank you very much Sir gromit your a star!

[leebickle]

Thank you for your reply.

I just wanted to clarify something. Is the Mckinsey 7s (i.e. strategy, structure etc) model also now no longer on the syllabus.

thanks

[leebickle]

Thank you very much for your help John Moffat! Your a star! Sorry for late reply!

[leebickle]

thank you so much for your help!

[Author]

Posts