What is the average rate of return for this investment? * Sample format: 11% The management of NUBD Co. is considering the purchase of a new machien costing P400,000 with a salvage value of P50,000. The company's desired rate of return is 10%. In addition to the foregoing information, use the following data in determining the acceptability in this situation: Net cash flow P180,000 120,000 100,000 90,000 90,000 Income from operations P100,000 40,000 20,000 10,000 10,000 Year 3. 4.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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What is the average rate of return for this investment? * 4
Sample format: 11%
The management of NUBD Co. is considering the purchase of a new machien
costing P400,000 with a salvage value of P50,000. The company's desired rate of
return is 10%. In addition to the foregoing information, use the following data in
determining the acceptability in this situation:
Net cash flow
P180,000
120,000
100,000
90,000
90,000
Income from operations
P100,000
40,000
20,000
10,000
10,000
Year
345
Transcribed Image Text:What is the average rate of return for this investment? * 4 Sample format: 11% The management of NUBD Co. is considering the purchase of a new machien costing P400,000 with a salvage value of P50,000. The company's desired rate of return is 10%. In addition to the foregoing information, use the following data in determining the acceptability in this situation: Net cash flow P180,000 120,000 100,000 90,000 90,000 Income from operations P100,000 40,000 20,000 10,000 10,000 Year 345
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