Question
The cost of a project is $150 million, and it will be depreciated using the straight-line method over 5 years with a zero salvage value.
The cost of a project is $150 million, and it will be depreciated using the straight-line method over 5 years with a zero salvage value. The following net income is anticipated.
| Year | Net Income ($ million) |
|---|---|
| 1 | 4 |
| 2 | 20 |
| 3 | 22 |
| 4 | 20 |
| 5 | 5 |
The AAR of the project is closest to:
Question 5 options:
|
| 16.3% |
|
| 12.2% |
|
| 8.1% |
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Warren Buffett In A Web3 World
Authors: Matthew Snider ,Steven Teplitz
1st Edition
979-8987237717
