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Your answer is correct. Pharoah Company is considering two capital investment proposals. Estimates regarding each project are provided below: Project Soup Project Nuts Initial
Your answer is correct. Pharoah Company is considering two capital investment proposals. Estimates regarding each project are provided below: Project Soup Project Nuts Initial investment $224000 $608000 Annual net income 28000 44600 Net annual cash inflow 90800 150000 Estimated useful life 4 years 5 years Salvage value 0 O The company requires a 11% rate of return on all new investments. Present Value of an Annuity of 1 Periods 10% 11% 12% 13% 4 3.170 3.102 3.037 2.974 5 3.791 3.696 3.605 3.517 The annual rate of return for Project Soup is
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Accounting for Non-Accounting Students
Authors: John R. Dyson
8th Edition
273722972, 978-0273722977
