A pharmacy has decided to automate its insurance claims process. Two networked computer systems are being considered. The systems have an expected life of 3 years. Herewith is the cash flows related to the project, the cash benefits represent the savings created by switching from manual to automated. Question: Which system would you choose and why? (Limit 5 sentences) System 1 P 200,000 75,000 75,000 System 2 P 215,000 Year Investment 1 2 3 75,000 420,000 The company's cost of capital is 10%.

A pharmacy has decided to automate its insurance claims process. Two networked computer systems are being considered. The systems have an expected life of 3 years. Herewith is the cash flows related to the project, the cash benefits represent the savings created by switching from manual to automated. Question: Which system would you choose and why? (Limit 5 sentences) System 1 P 200,000 75,000 75,000 System 2 P 215,000 Year Investment 1 2 3 75,000 420,000 The company's cost of capital is 10%.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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in text form with proper workings and explanation for each and every part and steps with concept and introduction no AI no copy paste remember answer must be in proper format with all working!!!!!!!
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Can someone please help me to solve the following question showing all work and formulas neatly. And please show the cash flow diagram as well. PLEASE ANS THANK YOU!!!!!
Can this be solved by hand, not excel and what are the formulas being used?