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Paul Swanson has an opportunity to acquire a franchise from The Yogurt Place, Inc., to dispense frozen yogurt products under The Yogurt Place name. Mt.

Paul Swanson has an opportunity to acquire a franchise from The Yogurt Place, Inc., to dispense frozen yogurt products under The Yogurt Place name. Mt. Swanson has assembled the following information relating to the franchise a. A suitable location in a large shopping mall can be rented for $5,000 per month. b. Remodeling and necessary equipment would cost $414,000 The equipment would have a 15 year life and a $27600 salvage valu Straight-line depreciation would be used. would be considered in computing depreciation Based on similar outlets elsewheMSW sales would total $940,000 per year Ingredients would cost 20% a d Operating costs would include 594.000 per year for salaries $1.400 per year for Insurance, and $51000 per year for utilities in addition, Mi Swanson would have to pay.sa.com storite Thd Yoout Place nc. of 1605 of kS Required 1. Prepaire & contribution format. 23.Compute the simple rate of return 2-b.11 Mc Swanson requires ) simple te 13a Compute the payback pet od on 3LBM Swanson wants a payback operating income each year from the franchise outlet SUPP_Vaud Le core the franchise

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