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Shields Company has gathered the following data on a proposed investment project: (Ignore income taxes.) Investment required in equipment $630,000 Annual cash inflows $88,000 Salvage
Shields Company has gathered the following data on a proposed investment project: (Ignore income taxes.)
| Investment required in equipment | $630,000 |
| Annual cash inflows | $88,000 |
| Salvage value | $0 |
| Life of the investment | 15 years |
| Discount rate | 10% |
| The simple rate of return on the investment is closest to: (Round your answer to the closest interest rate.) |
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Construction accounting and financial management
Authors: Steven j. Peterson
2nd Edition
135017114, 978-0135017111
