Question: 1) Identify your top suggested project. Explain why you are making this recommendation, referencing your calculations and what this data could mean for the future
1) Identify your top suggested project. Explain why you are making this recommendation, referencing your calculations and what this data could mean for the future of your company. 2) Identify the lowest project in your priority list. Explain why this project should be eliminated and NOT pursued. reference your calculations and why this project is not a good idea. Expansion Project Title Project Cost (Initial Investment) First Year Cash Flow Annual Growth Rate (5 years) Expenses as a percentage of Revenues Payback Period NPV IRR Purchase of Snappal Beverage Company $25,000,000 $8,500,000 8% 28% 2.93 $16,636,151 27% Purchase of PolarBear Seltzer Company $15,000,000 $8,500,250 3.25% 54% 2.97 $23,068,368 52% Development of Coffee Line $45,500,000 $13,000,000 12% 34% 2.89 $23,166,916 22% Development of Straight Caffeine $6,500,000 $2,500,000 4% 32% 2.96 $4,855,772 30%
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