Q3- An investor wants to establish a cement plant, so if the data for the plant is as in the container, and the compound annual interest is (100) very 1. How long does it take for the investor to recover his money? 2 How many units are produced to reach the break-even point? From year 10 9. 8 6. 1 Operating period (year) to year 40 vector number of units . 3 2.7 2.4 2.1 1.8 1.5 1.2 0.9 0.6 (million tons annually) 303 Total invested capital (million dollars) 20 Production cost (dollars) 7575000 Annual costs of depreciation (dollars per year) 800000 Annual operating costs (dollars/year) 24 Selling price (dollars/ton) Interest Rate (%) 4) 3.
Q3- An investor wants to establish a cement plant, so if the data for the plant is as in the container, and the compound annual interest is (100) very 1. How long does it take for the investor to recover his money? 2 How many units are produced to reach the break-even point? From year 10 9. 8 6. 1 Operating period (year) to year 40 vector number of units . 3 2.7 2.4 2.1 1.8 1.5 1.2 0.9 0.6 (million tons annually) 303 Total invested capital (million dollars) 20 Production cost (dollars) 7575000 Annual costs of depreciation (dollars per year) 800000 Annual operating costs (dollars/year) 24 Selling price (dollars/ton) Interest Rate (%) 4) 3.
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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Transcribed Image Text:Q3- An investor wants to establish a cement plant, so if the data for the plant is as in the container, and the compound annual interest is
(100) very
1. How long does it take for the investor to recover his
money? 2 How many units are produced to reach the break-even point?
From year 10
9.
3.
Operating period (year)
to year 40
vector number of units .
3
2.7
2.4
2.1
1.8
1.5
1.2
0.9
0.6
(million tons annually)
303
Total invested capital (million dollars)
20
Production cost (dollars)
7575000
Annual costs of depreciation (dollars per year)
800000
Annual operating costs (dollars/year)
24
Selling price (dollars/ton)
9.
Interest Rate (%)
4,
6.
3.
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