Question: Brief Exercise 26.2 Using Return on Investment to Evaluate Proposals (LO26-3) Doug's Conveyor Systems, Inc., is considering two investment proposals (1 and 2). Data for

Brief Exercise 26.2 Using Return on Investment to Evaluate Proposals (LO26-3)

Brief Exercise 26.2 Using Return on Investment to Evaluate Proposals (LO26-3) Doug's Conveyor Systems, Inc., is considering two investment proposals (1 and 2). Data for the two proposals are presented here. Cost of investment Estimated salvage value Average estimated net income $ 90,000 $ 65,000 10,000 20,000 15,000 8,000 Calculate the return on average investment for both proposals. ROI Proposal 1 Proposal 2 %

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