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0398 (a) What are the benefits of Economic analysis? What are the disadvantages of the Accounting rate of return method? (b) Using the Internal rate

0398 (a) What are the benefits of Economic analysis? What are the disadvantages of the Accounting rate of return method? (b) Using the Internal rate of return method, determine the rate of return of the given project if the capital cost is Rs. 250000. Year Net Savings First Year 80000 Second Year 95000 Third Year 1 15000 Fourth Year 90000 Fifth Year 65000

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