Question: Module 3 - Chapter 8 Connect Homework i Saved Help Save & Exit Subm Check my work 3 ZipCar auto parts store has $88,000 to

 Module 3 - Chapter 8 Connect Homework i Saved Help Save

Module 3 - Chapter 8 Connect Homework i Saved Help Save & Exit Subm Check my work 3 ZipCar auto parts store has $88,000 to invest in a project to detect and reduce insier theft in their stores. They have considering investing in one of two alternatives, identified as Y and Z. Z is the higher first-cost alternative, and the incremental initial investment between the two is $26,000 and will exhibit a rate of return of 14% per year. Z requires an investment of $88,000. They expect a rate of return on the $88,000 investment of 40 percent. Answer the following questions; (a) what is the size of the investment required in Y?, and, (b) what is the rate of return on Y? 10 points The size of the investment required in Y is $ The rate of return on Y is %. eBook Hint Print References

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