Question
An initial investment of birr130,000 is expected to generate annual cash inflow of birr32,000 for 6 years. Depreciation is allowed on the straight line basis.
An initial investment of birr130,000 is expected to generate annual cash inflow of birr32,000 for 6 years.
Depreciation is allowed on the straight line basis.
It is estimated that the project will generate scrap value of birr10,500 at end of the 6th year. Calculate its accounting rate of return assuming that there are no other expenses on the projec
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Accounting
Authors: Carl S Warren, James M Reeve, Jonathan Duchac
24th Edition
0538475005, 9780538475006
