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I need help with solving this question please. The case is: You have been asked to make a recommendation on which projects the Winner's Co.
I need help with solving this question please.
The case is:
You have been asked to make a recommendation on which projects the Winner's Co. should plan to complete this year based on NPV analysis and available labor hours.
Assumptions: Each project concept below has a 3-year lite Use a discount rate 01120;?) cost ofcapital Use a labor rate for the developer hours of $52 per hour Acme has 10,000 software development labor hours to put towards these projects PROJECT CONCEPT DETAILS Project # Project Name Estimated lst Yr. Revenue Revenue for each of 2 developer hours subsequent years St Michael Dragonslayer Game 1,250 $250,000 Decline 10% Receipt Organizer 400 $250,000 Increase 5% Movie Attendance Tracker 7"50 $500,000 Increase 5% Tax Adviser 2,500 $1,000,000 Increase 10% Recipe Organizer 1,825 52,500,000 Increase 15% Game Score Tracker 6,250 $1,300,000Step by Step Solution
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