The following cash flow diagram is representing one of the industrial projects, Calculate the following: (a) The
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The following cash flow diagram is representing one of the industrial projects, Calculate the following:
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(a) The present worth PW? [2 Marks] (b) The future worth FW? [2 Marks] (c) The annual worth AVY [2 Marks] (d) The payback period PBP? [2 Marks] (e) Determine if this project acceptable or not. [2 Marks] Assume MARR=12% per year. Market value=300,000$ Annual revenue=600,000$ 4 6 10 11 Annual Expenses=200,000$ Investment Cost=800,000$ (a) The present worth PW? [2 Marks] (b) The future worth FW? [2 Marks] (c) The annual worth AVY [2 Marks] (d) The payback period PBP? [2 Marks] (e) Determine if this project acceptable or not. [2 Marks] Assume MARR=12% per year. Market value=300,000$ Annual revenue=600,000$ 4 6 10 11 Annual Expenses=200,000$ Investment Cost=800,000$
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Initial cost 800000 Salvage value 300000 Project period 11 Annual Revenue 600000 Annual Expenses 200... View the full answer
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