ompany in Japan was p finvestment projects fc Project Tota (Japa New studio in 300.

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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9. The board of directors of the Trigger.inc, an animation
company in Japan was presented with the following list
of investment projects for the implementation in 2021:
Project
Total Cost
Estimated Rate
(Japanese Yen)
of Return
New studio in
300.000.000
13%
Singapore
New studio in
200.000.000
15%
| Jаpan
New computer
100.000.000
12%
networks
New corporate
350.000.000
18%
office
New physical
250.000,000
20%
store in Tokyo
Backup systems 50.000.000
upgrade
7%
Sketch the total investment as a function of interest rate
(with the interest rate on the Y-axis). Currently, the
interest rate in japan is 8 percent. How much investment
would you recommend to Trigger's Inc?
Transcribed Image Text:9. The board of directors of the Trigger.inc, an animation company in Japan was presented with the following list of investment projects for the implementation in 2021: Project Total Cost Estimated Rate (Japanese Yen) of Return New studio in 300.000.000 13% Singapore New studio in 200.000.000 15% | Jаpan New computer 100.000.000 12% networks New corporate 350.000.000 18% office New physical 250.000,000 20% store in Tokyo Backup systems 50.000.000 upgrade 7% Sketch the total investment as a function of interest rate (with the interest rate on the Y-axis). Currently, the interest rate in japan is 8 percent. How much investment would you recommend to Trigger's Inc?
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