Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

In 2021, PURE LIFE company decided to volunteer water coolers Project for outdoor yard of Al Haram Al Makki . Its space is around 193,000

In 2021, PURE LIFE company decided to volunteer water coolers Project for outdoor yard of Al Haram Al Makki . Its space is around 193,000 m2 and it requires 170 water coolers machines. Overall cost is 47,600 SR .Eight years of service the machines can last and without appreciable salvage value .Moreover , the maintenance warranty is not under our company. Each half of the day, we will be filling up the coolers with 480 bottles of water and that would cost 120 SR for each water cooler. Taxes charge will be 15% . No manpower provided by the company. Electricity costs 85,000 per year.Recovery period: 7-year MACRS
Develop the project cash flow over the service period of the machines and determine whether the investment is a wise , based on 15% .

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions

Question

=+(17.24) ['If(x) dx Answered: 1 week ago

Answered: 1 week ago