Question: please answer all requirements Lou Barlow, a divisional manager for Sage Company, has an opportunity to manufacture and sell one of two new products for





Lou Barlow, a divisional manager for Sage Company, has an opportunity to manufacture and sell one of two new products for a fiveyear period. His annual pay raises are determined by his division's return on investment (ROI), which has exceeded 23% each of the last three years. He has computed the cost and revenue estimates for each product as follows: The company's discount rate is 16%. Click here to view Exhibit 128-1 and Exhibit 128-2, to determine the appropriate discount factor using tables: Required: 1. Calculate the payback period for each product. 2. Calculate the net present value for each product. 3. Calculate the intemal rate of return for each product. 4. Calculate the profitablility index for each product. 5. Calculate the simple rate of return for each product. 6a. For each measure, identify whether Product A or Product B is preferred. 6b. Based on the simple rate of return, which of the two products should Lou's division accept? Complete this question by entering your answers in the tabs below. Calculate the payback period for each product. (Round your answers to 2 decimal piaces.) _ou Barlow, a divisional manager for Sage Company, has an opportunity to manufacture and seil one of two new products for a fiveyear period. His annual pay raises are determined by his division's return on investment (ROI), which has exceeded 23% each of the ast three years. He has computed the cost and revenue estimates for each product as follows: The company's discount rate is 16%. Click here to view Exhibit 12B-1 and Exhibit 128-2, to determine the appropriate discount factor using tables. Required: 1. Calculate the payback period for each product. 2. Calculate the net present value for each product. 3. Calculate the intemal rate of return for each product. 4. Calculate the profitability index for each product. 5. Calculate the simple rate of return for each product. 6 . For each measure, identify whether Product A or Product B is preferred. 6 . Based on the simple rate of return, which of the two products should Lou's division accept? Complete this question by entering your answers in the tabs below. Calculate the net present value for each product. (Round your final answers to the nearest whole doliar amount.) Lou Barlow, a divisional manager for Sage Company, has an opportunity to manufacture and sell one of two new products for a fiveyear period. His annual pay raises are determined by his division's return on investment (ROi), which has exceeded 23% each of the last three years. He has computed the cost and revenue estimates for each product as follows: The company's discount rate is 16%. Click here to view Exhibit 128-1 and Exhibit 128-2, to determine the appropriate discount factor using tables. Required: 1. Calculate the payback period for each product. 2. Calculate the net present value for each product. 3. Calculate the internal rate of return for each product. 4. Calculate the profitability index for each product. 5. Calculate the simple rate of return for each product. 6a. For each measure, identify whether Product A or Product B is preferred. 6b. Based on the simple rate of return, which of the two products should Lou's division accept? Complete this question by entering your answers in the tabs below. Calculate the internal rate of retum for each product. (Round your percentage answers to 1 decimal place L.e. 0.123 should be considered as 12.3% ) Lou Bariow, a divisional manager for Sage Company, has an opportunity to manufacture and sell one of two new products for a five-year period. His annual pay raises are determined by his division's return on investment (ROI), which has exceeded 23% each of the last three years. He has computed the cost and revenue estimates for each product as follows: The company's discount rate is 16%. Click here to view Exhibit 128-1 and Exhibit 128-2, to determine the appropriate discount factor using tables. Required: 1. Calculate the payback period for each product. 2. Calculate the net present value for each product. 3. Calculate the intemal rate of return for each product. 4. Calculate the profitability index for each product. 5. Calculate the simple rate of retum for each product. 6 a. For each measure, identify whether Product A or Product B is preferred. 6b. Based on the simple rate of return, which of the two products should Lou's division accept? Complete this question by entering your answers in the tabs below. Calculate the profitability index for each product. (Round your answers to 2 decimal places.) Proent Valoe of 51 : (1+7)61 ENHIBIT 12B-2
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