Question: help me solving this question step by step Alexander Inc. is considering four proposals forthe construction of new facilities. The Accountant is supposed to evaluate
help me solving this question step by step
Alexander Inc. is considering four proposals forthe construction of new facilities. The Accountant is supposed to evaluate four proposals. Proposal 1 Proposal 2 Proposal 3 Proposal 4 Payback period 3 years 4 years 4 years 7 years Net present value $80,000 $178,000 $166,000 $308,000 Internal rate of return 12% 14% 11% 13% Accrual accounting rate of return 8% 6% 4% 7% Required: How can this information be used in the decision making process for the new facilities? Does it cause any confusion? Which is the best proposal in your overview and why?

Please return to Welcome page and initial ethical agreement before proceeding. Custer Construction Company is considering four proposals for the construction of new loading facilities that will include the latest in ship loading/unloading equipment. After careful analysis, the company's accountant has developed the following information about the four proposals: Proposal 3 Proposal 4 6 years 7 ye $166,000 $308,000 13% 7% How can this information be used in the decision-making process for the new loading facilities? Does it cause any confusion? Explain carefully
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
