Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You and your business partners are trying to set up a mass manufacturing company, but you are not sure what type of business you and

image text in transcribed

You and your business partners are trying to set up a mass manufacturing company, but you are not sure what type of business you and your team are going to start. By referring to top-down analysis that your team had done previously, you and your team are able to collect several information and tabulated into a table as shown in the following table, so that you can do a brainstorming session with all your team members. Business details Space station Type of Business High temperature resistance suits Advanced polymer tire Nano-size microcontroller chip food-in-tube Startup Cost (RM) 1,000,000 2,500,000 2,500,000 5,000,000 Annual factory and machine 250,000 250,000 300,000 500,000 maintenance cost (RM) Annual profit gain 500,000 750,000 750,000 1,500,000 (RM) Market Salvage 200,000 1,000,000 1,500,000 2,500,000 value (RM) IRR (%) ? ? ? ? However, the next problem after you and your team decided the business, it is still in need to make a business loan to start that business. With the minimum attractive rate or return (MARR) of 15%, what is your business planning? Please explain the reason of your choice through a calculation report, including PW, IRR and Incremental Analysis to support your decision. You and your business partners are trying to set up a mass manufacturing company, but you are not sure what type of business you and your team are going to start. By referring to top-down analysis that your team had done previously, you and your team are able to collect several information and tabulated into a table as shown in the following table, so that you can do a brainstorming session with all your team members. Business details Space station Type of Business High temperature resistance suits Advanced polymer tire Nano-size microcontroller chip food-in-tube Startup Cost (RM) 1,000,000 2,500,000 2,500,000 5,000,000 Annual factory and machine 250,000 250,000 300,000 500,000 maintenance cost (RM) Annual profit gain 500,000 750,000 750,000 1,500,000 (RM) Market Salvage 200,000 1,000,000 1,500,000 2,500,000 value (RM) IRR (%) ? ? ? ? However, the next problem after you and your team decided the business, it is still in need to make a business loan to start that business. With the minimum attractive rate or return (MARR) of 15%, what is your business planning? Please explain the reason of your choice through a calculation report, including PW, IRR and Incremental Analysis to support your decision

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Understanding Decentralized Finance How DeFi Is Changing The Future Of Money

Authors: Rhian Lewis

1st Edition

1398609390, 978-1398609396

More Books

Students also viewed these Finance questions

Question

Evaluate the importance of diversity in the workforce.

Answered: 1 week ago

Question

Identify the legal standards of the recruitment process.

Answered: 1 week ago