WayMart Company is considering a long-term investment in a project called PET. PET will require an investment
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WayMart Company is considering a long-term investment in a project called PET. PET will require an investment of $100,000. It will have a useful life of 5 years and no salvage value. Annual revenues would increase $70,000, and annual expenses (including depreciation) would increase by $45,000. WayMart uses the straight-line depreciation method to compute depreciation expense. The company's required rate of return is 12%. (20 points) Compute the annual rate of return 5 Is this project acceptable? No Compute the cash Mark 0.00 out of 5.00 Is this project acceptable? No 1% years (round to the nearest tenth of a year)
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