For Nos. 45-47. The Matrix Industries intends to invest in Project Morpheus which has an investment cost of P2,000,000, an annual revenue of P800,000, a salvage value of P200.000 and a useful life of 5 years. If the depreciation method for this particular project is straight-line depreciation, and the company is in the 40% tax bracket and has a MARR before tax of 24% per annum, 45. What is the after-tax MARR for this investment? A. 14.40% B. 15.00% C. 16.80% D. 17.50% 46. What is the after-tax present worth of this project? A. P239,031.04 B. P223,878.12 C. P202.128.72 D. P191.180.13 47. What is the difference between the after-tax present worth and the before-tax present worth of this project? A. P14.831.28 B. P25,498.04 C. P25,779.87 D. P40,650.96
For Nos. 45-47. The Matrix Industries intends to invest in Project Morpheus which has an investment cost of P2,000,000, an annual revenue of P800,000, a salvage value of P200.000 and a useful life of 5 years. If the depreciation method for this particular project is straight-line depreciation, and the company is in the 40% tax bracket and has a MARR before tax of 24% per annum, 45. What is the after-tax MARR for this investment? A. 14.40% B. 15.00% C. 16.80% D. 17.50% 46. What is the after-tax present worth of this project? A. P239,031.04 B. P223,878.12 C. P202.128.72 D. P191.180.13 47. What is the difference between the after-tax present worth and the before-tax present worth of this project? A. P14.831.28 B. P25,498.04 C. P25,779.87 D. P40,650.96
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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