Question
Bartlett Car Wash Company is considering the purchase of a new facility. It would allow Bartlett to increase its net income by $95,538 per year.
Bartlett Car Wash Company is considering the purchase of a new facility. It would allow Bartlett to increase its net income by $95,538 per year. Other information about this proposed project follows: Initial investment $ 468,325 Useful life 9 years Salvage value $ 46,000 Assume straight line depreciation method is used.
Calculate the accounting rate of return for Bartlett. Note: Round your percentage answer to 2 decimal places. (18.90% is wrong)
Calculate the payback period for Bartlett. Note: Round your answer to 2 decimal places. (4.90 is wrong)
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