a) Use Repeatability Assumption to compare between three alternatives X, Y and Z at (MARR=18% per year). Project Investment cost Production rate per year | 20,000 Price per unit Annual expenses Salvage value Useful life (years) A В C $90,000 $50,000 $35,000 24,000 18,000 $6 $2.8 $4 $6,000 $5,000 $4,000 $10,000 $18,000 2 3 6

a) Use Repeatability Assumption to compare between three alternatives X, Y and Z at (MARR=18% per year). Project Investment cost Production rate per year | 20,000 Price per unit Annual expenses Salvage value Useful life (years) A В C $90,000 $50,000 $35,000 24,000 18,000 $6 $2.8 $4 $6,000 $5,000 $4,000 $10,000 $18,000 2 3 6

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

None
determine the most economic alternative using AW analysis at 12% per year. Give an explanation and draw the results.
The following information regarding an investment project is available. Initial investment is £125,000 Scrap Value £10,000 at the end of 5 years Year Inflow 1 £60,000 2 £50,000 3 £10,000 4 £10,000 5 £50,000 A). What is the ARR using the Average Investment formula? Choose one from the following: A. 15% B. 17% C. 19% D. 21%
Year 0 Cash Flow = +$25,000 (assume only 1 change in signs) Project IRR = 4.5% Project DR = 6.0% %3D Should the project be accepted without reviewing NPV? Why or why not? Explain
_please help
24
Using incremental rate of return, consider the 3 alternatives below and a Minimum Attractive Rate of Return of 7 %, which alternative is preferred? Each have a useful life of 20 years and no Salvage value. A В C Initial $55,000 $27,000 $20,000 Investment Annual $5,600 $2,700 $2,200 income 8% 7.75% 9.06% Alt A Alt B Alt C
The equivalent annual worth of alternative A over an infinite time period is closest to:a. $-25,000b. $-27,200c. $-31,600d. $-37,100
( 1 contractor want to invest his money in on of project A or B if you know that the interest rate is 10%, choose the best alternative A or B using net present worth method? A 120 000 CU 15 000 CU/YEAR 10 000 CU/YEAR 12 000 CU 12 YEARS 3000 CU Initial investment Annual revenue Annual expense Salvage value Project life Cost of machines replaced every 3 حلقه میشو الباب diq Naama years B 135 000 CU 17 000 CU/YEAR 11 000 CU/YEAR 20 000 CU/YEAR 6 YEARS 3500 CU
a- At 10%, find PW for the following Table Warehouse cost equipment cost Installation cost Annual maintenance costs Annual Revenues Salvage Machine life 0 1 2 3 -90,000 b- A project with an IRR = 20%, it has the following NCF (S) X X 4000 (SUS) 50,000 46.000 Find X? 6,500 8,000 45,000 15,000 15 years
hi, could u explain how to solve plan B thx
3:Consider the following financial data for a project. 2- Find the (ROR) for the project.. We jus المصرر AP 1 = 10) b- If the the expense will increase by 10%, find the annual revenue that will make (POR-10%) Initial investment 18 000 CU Annual revenue 5000 CU Annual expense 3000 CU Salvage value 4500 CU Project life 12 YEARS