Net Present value Essay Example | Topics and Well Written Essays - 1250 words

Net Present value - Essay Example There are various methods available for appraisal of a project like Net Present Value, Pay back period and others. Here we are using NPV and payback method to analyze the project. Let us start with NPV method. NPV method recognizes the fact that a pound today is worth more than a pound tomarrow. NPV is ‘a calculation in dollars of the present value of all future cash flows from a project. It is roughly analogous to the concept of profit.’(Gary Heerkens, page 59) The total production per week is 1000 units and accordingly 52000 units for the year. As per information provided the contribution or profit per units will be  £0.20 and as the sale for the year is 52000 units, total contributions towards profit is  £10400. As the fixed operation cost will get reduced to  £ 20000 on installation of equipment, the contribution after meeting variable cost would be £ 30400 for each of 10 years except for 5th year, when the unit will be closed for overhauling for 4 weeks. In the fifth year the contribution will be  £29600. As there will also be an overhauling cost of  £8000, the net profit will reduce to  £1600 as compared to  £10400 in each year. However, in the 10th year the residual value of equipments of  £1000 will increase the profits to  £11400. These profits represent cash inflows for each year as depreciation on equipment has not been considered for calculation of such profits. These cash flows have been discounted at the rate of 20% (PVIF table multipliers for each year) in order to calculate the present value of cash inflows from the project.

Supreme Court of the US Essay Example | Topics and Well Written Essays - 500 words

Supreme Court of the US - Essay Example It is evident from the very outset that the small, quiet city of Intrusion is indeed, in a state of panic; a state of affairs that the state is, in fact, responsible for – the protection of life. The suspicion that someone was selling methamphetamine illegally to the locals, more so to the underage [teenagers] and that and a popular life has been lost due to inappropriate use of the said chemical has been proved beyond doubt. I firm the legal principles that give the police department the right to protect life, people and their properties thereof. However, so must be done according to the constitution. In this very case, the state prosecutor advised the police department to talk with the local cell phone carrier about â€Å"cloning† the phone of a suspect, Mr. Doe’s, which was done, in effect, allowing the police to read text messages sent and received by Mr. Doe. In no time the police had evidence implicating Mr. Doe as a dealer and the location of the meth lab, leading to the accused being convicted and his meth lab being closed.   This case requires the explicit legal based decision on whether the interception of Mr. Doe’s text messages via a cloned phone was but an unreasonable search and seizure, exceeding the provisions of the Fourth Amendment. It is important to note that though individual’s privacy is doubt fundamental in this case, the degree to which the principles of search and seizure, more so of crucial evidence, promotes legitimate collective interests must not be lost, for laws enjoyed by every citizen of this nation also carry certain responsibilities (Bond v the United States 539).   Cell phones are important tools of communication, with criminal enterprises included in the same processes.