Question
[CLO-6] A company is producing pen for 5 years, the investment value for the company is $700,000, the market value for the company is
[CLO-6] A company is producing pen for 5 years, the investment value for the company is $700,000, the market value for the company is $10,000, while the annual expenses is $100,000. Monthly tax to be paid 2% from the investment. The company find itself increase the price of the pen each year 50% than previous year with regular production demand 100,000 (product/year). Based on PW method what is the first price the 4 points company sells the pen to have marginally profitable? Knowing that MARR 12% compounded yearly
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