Question: Note: Where applicable, use the present value tables provided in APPENDICES 1 and 2 that appear after QUESTION 5. REQUIRED Study the information given below

 Note: Where applicable, use the present value tables provided in APPENDICES

Note: Where applicable, use the present value tables provided in APPENDICES 1 and 2 that appear after QUESTION 5. REQUIRED Study the information given below and answer fhe following questions: 5.1 Calculale the Payback Period of Projed. A (expressed in yesirs, moviths and days! (3 marks) 5.2 Celculale the Accounting Rate of Retum on average investment of Projed A /expressed to two decimel placest. ( 4 marks) 53 Calculale the Benefi Cast Ratio of both projects (expressed to fwo deaimel pleces) (7 marks) 5.4 Refer to yours anavers in question 5.3 . Which project should be chosen? Wh? (1 mark) 55 Calculale the intemal Rate of Retum of Project B (expressed to two decinal plsces,. Your anber must indude two net present value calculations (using consecutive ralespercentages, and interpolstion. ( 5 marks) INFORMATION The following information relates to two capital eipenditure projeds. Decause of capital rationing, only one projed can be chosen. The company estimates that its ood of capilal is 12%. lgnone taxes

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