Hi Teacher,

Can help me on this ?

PART2

Thenetoperationalcashflowsofinvestmentschemes ofCafe andaDiscoasfollows:

Year	Cafe(000)	Disco(000)
0	(82)	(82)
1	20	30
2	30	30
3	40	40
4	40	50
5	50	30

Given that the residual value for Cafe and Disci are18,000 and 22,000 respectively whiletherequiredrate of return is 12%.

Youarerequiredtocalculate,forboth schemes,the:

1. AccountingRateofReturn
2. Paybackperiod
3. Weaknessof theabove investment appraisalmethod

Thanks

Thanks