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Chapter 7 Rate of Return Analysis (single project) 2) Swagelok Enterprises is a manufacturer of miniature fittings and valves. Over a 10-year period, the costs

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Chapter 7 Rate of Return Analysis (single project) 2) Swagelok Enterprises is a manufacturer of miniature fittings and valves. Over a 10-year period, the costs associated with one product line were as follows: first cost of S30,000 and annual costs of $18,000. Annual revenue was $27,000, and the used equipment was salvaged for $7,000. What rate of return did the company make on this product? (Blank and Tarquin, 6h and 8th edition) a) Write the ROR equation in the form PW-0 to determine i* (25 points) b) Prepare Year vs. Net Cash Flow table to find i*. What rate of return did the company make on this product? (Use Spreadsheet to find i*) (25 points) Chapter 7 Rate of Return Analysis (single project) 2) Swagelok Enterprises is a manufacturer of miniature fittings and valves. Over a 10-year period, the costs associated with one product line were as follows: first cost of S30,000 and annual costs of $18,000. Annual revenue was $27,000, and the used equipment was salvaged for $7,000. What rate of return did the company make on this product? (Blank and Tarquin, 6h and 8th edition) a) Write the ROR equation in the form PW-0 to determine i* (25 points) b) Prepare Year vs. Net Cash Flow table to find i*. What rate of return did the company make on this product? (Use Spreadsheet to find i*) (25 points)

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