Brandon Designs has prepared the following estimates for a long-term project it is considering. The initial investment is $18,250 and the project is expected to yield cash inflows of $3,625 per year for 7 years. The firm has a 10% cost of capital. Required: (1) (ii) Evaluate the project's financial acceptability using any one discounted cash flow (DCF) technique. (2 marks) One flaw in applying DCF procedures in practice is that managers ignore important benefits from the new investment. Recommend a system that can be used to make these benefits - visible and demonstrate how it can be used in capital budgeting. (2 marks) (iii) Discuss the managerial accountant's role in performing a post-audit of investment projects. (2 marks)

Brandon Designs has prepared the following estimates for a long.term project it is considering. The initial investment is $18,250 and the project is expected to yield cash inflows of $3,625 per year for 7 years. The firm has a 10% cost of capital. Required: (i) Evaluate the project's financial acceptability using any one discounted cash flow (DCF) technique. (2 2 marks) (ii) One flaw in applying DCF procedures in practice is that managers ignore important benefits from the new investment. Recommend a system that can be used to make these benefits visible and demonstrate how it can be used in capital budgeting. (2 marks) (iii) Discuss the managerial accountant's role in performing a post-audit of investment projects. (2 marks)