KYY Inc. has the following data on its 2020 financial statement Total sales 2,000,000 360,000 1,500,000 2,100,000 Profit Beginning total sales Ending total sales A project proposal showed additional investment of 800,000 that would generate 1,000, sales and controllable contribution margin of 120,000. What is the return on investment (ROI) of the project proposal? Should the proposal be ассepted?
KYY Inc. has the following data on its 2020 financial statement Total sales 2,000,000 360,000 1,500,000 2,100,000 Profit Beginning total sales Ending total sales A project proposal showed additional investment of 800,000 that would generate 1,000, sales and controllable contribution margin of 120,000. What is the return on investment (ROI) of the project proposal? Should the proposal be ассepted?
Chapter10: Capital Budgeting: Decision Criteria And Real Option
Section: Chapter Questions
Problem 15P
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