Question
1- Calculate the rate of return for each project, and what is best for the company? 2- NPV Statement Project A Project B Investment cost
1- Calculate the rate of return for each project, and what is best for the company?
2- NPV
Statement | Project A | Project B |
Investment cost | 40,000 | 50,000 |
Salvage value | 2,000 | 1,000 |
Cash flows | 80,000 | 70,000 |
The useful life | five years | four years |
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Engineering economy
Authors: Leland Blank, Anthony Tarquin
7th Edition
9781259027406, 0073376302, 1259027406, 978-0073376301
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