Revenues generated by a new fad product are
Year | Revenues |
1 | 60,000 |
2 | 40,000 |
3 | 30,000 |
4 | 10,000 |
Thereafter | 0 |
Expenses are expected to be 30% of revenues, and working capital required in each year is expected to be 10% of revenues in the following year. The product requires an immediate investment of $81,000 in plant and equipment.
a). What is the inital investment in the product? Rememebr working capital.
b).If the plant and equipment are
c). If the
d). What is the project
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