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Written solution please (no excel) yup Styles Q8) The IPS company has installed a system to help reduce the number of defective products. The capital
Written solution please (no excel)
yup Styles Q8) The IPS company has installed a system to help reduce the number of defective products. The capital investment in the system is $95000, and the projected annual savings are tabled below. The system's market value at the EOY five is negligible, and the MARR is 20% per year. EOY Savings 1 25,000 2 30,000 3 35,000 4 40,000 5 46,000 a. What is the FW of this investment Based on economical decision rule, is this a good investment? b. What is the IRR of the system? Based on economical decision rule, is this a good investment? c. What is the discounted payback period for this investment? OWNStep by Step Solution
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