a. What should be your material cost for a project with MARR of 25% to make it into marginally acceptable and with an annual revenue of Php 10,000.00 for 8 years? Explain why, draw its cash flow diagram, and show your complete solutions. 

b. Now, if the said project has a salvage cost of Php 7,300.00 after 6 years, does it make a good investment opportunity? Explain why, draw its cash flow diagram, and show your complete solutions. 

c. Lastly, If the said project has an annual cost of Php 2,000.00, what is your capital investment? Explain why, draw its cash flow diagram, and show your complete solutions.

Answer rating: 100% (QA)

A project is said to be viable if the sum of the present value of all cash flows is greater than the ... View the full answer