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Please show steps Use this info for 10-14 A convenience store wants to offer its customers something new and is considering adding either a deli
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Use this info for 10-14 A convenience store wants to offer its customers something new and is considering adding either a deli or a car wash. The deli will require an initial investment of $55,000 and will produce annual cash inflows of S9262.85 for 11 years. The car wash will require an initial investment of S500,000 and will produce annual cash inflows of $61,000 per year for 20 years. The company has a cost of capital of 8% 10. What is the payback period for the car wash? 11. What is the NPV of the deli? A. -$4279 B. S11,127 C. S18,326 D. S21,836 E. S28,655 F. S31,415 12. What is the profitability index for the car wash? 13. What is the IRR of the deli? A. 89 awB, 9% C. 10% D. 11% E. 12% F13% 14. What is the IRR of the car wash? A. 8.25%..B. 9.0% C. 10.56% D. 11.48% E. 12.36% F 12.94%Step by Step Solution
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