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Using the projected cost/benefits work out the expected a. Return on Investment (ROI) from the system hi.... may I get an urgent answer please 5

Using the projected cost/benefits work out the expected a. Return on Investment (ROI) from the system

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hi....may I get an urgent answer please

5 a AI + : D E F H 1 year 3 2 4 5 6 PAYBACK ANALYSIS Cash flow Description 0 1 Development costs 4m Operating costs 0.25 Cumulative costs 4m 4.25 Benefits 0 1.1 Cumulative Benefit 0 1.1 -3.15 The payback period is the fourth year 0.28 4.53 1.5 2.6 -1.93 0.3 4.83 1.9 4.5 -0.33 0.34 5.17 2.1 6.6 1.43 0.37 5.54 2.6 9.2 3.66 04 5.94 3 12.2 6.26 year 3 1 2 4 5 6 PRESENT VALUE ANALYSIS Cash flow Description 0 Development costs 4m Operating costs Depreciation (5%) Cumulative costs 4m Benefits 0 Depreciation(5%) Cumulative Benefit NPV -4.000 0.25 0.238 4.238 1.1 1.048 1.048 -3.190 0.28 0.254 4.492 1.5 1.361 2.409 -2.083 0.3 0.259 4.751 1.9 1.641 4.050 -0.701 0.34 0.279 5.030 2.1 1.728 5.778 0.748 0.37 04 0.29 0.298 5.320 5.618 2.6 3 2.037 2.239 7.815 10.054 2.495 4.436 3 year 3 1 2 4 5 6 OJECTED COSTS AND INCOI Cash flow Description 0 Development costs 4m Operating costs Benefits Income 0 7 0.25 1.1 0.28 1.5 0.3 1.9 0.34 2.1 0.37 2.6 0.4 3

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