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Fast way Inc. is considering four proposals for the construction of new facilities. Evaluating four proposals. Proposal 1 Proposal 2 Proposal 3 Proposal 4 Payback
Fast way Inc. is considering four proposals for the construction of new facilities. Evaluating four proposals.
Proposal 1 Proposal 2 Proposal 3 Proposal 4
Payback period : 3 years 4 years 4 years 7 years
Net present value : $80,000 $178,000 $166,000 $308,000
Internal rate
of return: 12% 14% 11% 13%
Accrual accounting
rate of return: 8% 6% 4% 7%
So i wanted to know how this information can help in decision making process for upcoming facilities? is it have any confusion? which one can be best proposal for company and why?
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