Johnson Company is consideringtwo alternative investments in equipment for a five-year period. Bonuses are determined bythe company's return on investment (ROI), which has exceeded 21% each of the last three years.

Cost and revenue estimates for each project are as follows:

Investment required

Cost of equipment (zero salvage value) Proj. A $480,000 Proj. B $270,000

\fPurchase al equipment Flord out of podlet coils Total cath torat Oncount factor il -me tables Internal Harte of Meluan [INHI Annual net cash inflow Wake how the rilamate whidstem