Answered step by step
Verified Expert Solution
Question
1 Approved Answer
PLEASE ANSWER THIS QUESTION MANUALLY(NOT IN EXCEL) AND PROPERLY THANK YOU SO MUCH. Assignment Content Answer the following question with complete solutions and cash flow
PLEASE ANSWER THIS QUESTION MANUALLY(NOT IN EXCEL) AND PROPERLY THANK YOU SO MUCH.
Assignment Content Answer the following question with complete solutions and cash flow diagram. An engineer launches a project in the country's top technohub. This involves rental of a computer unit for online class students. He felt that because of the density of students in the area, 90% f his 30-units will be occupied per sem (5 months each) per year. He desires a rate of return of 20%. Other pertinent data are the following: Office investment P 1,000,000 Computer investment per unit P 35,000 Cost of computers after 10 yrs P5,000 Office rental per month P 9,000 Computer rental per unit per month P 2,000 Annual maintenance budget per unit P 5,000 Business tax 1% of Total Investment Insurance 0.5% of Total Investment Assess the project using (1) ROR, (2) Present Worth Method, and (3) Future Worth Method. (4) Estimate the payback period of this projectStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started