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What is the NPV of Applebees investment in tableside tablets for its restaurants? 1,000 tablets purchased. 1. Each tablet has an initial purchase price of
What is the NPV of Applebees investment in tableside tablets for its restaurants? 1,000 tablets purchased. 1. Each tablet has an initial purchase price of $250 2. The annual subscription fee per tablet is $50 3. Average revenue generated per day by each tablet is $1 4. Average number of days each tablet is in use each year is 360 days 5. Additional annual IT costs incurred for tablet integration into Applebees system is $225,000 6. The useful life of the tablets is four years. Ignore depreciation and taxes.
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