Question: Question 2 a. ROICO Ltd is considering a project costing N470,000 on capital equipment and $280,000 on working capital. The profits for the project would

Question 2 a. ROICO Ltd is considering a project costing N470,000

Question 2 a. ROICO Ltd is considering a project costing N470,000 on capital equipment and $280,000 on working capital. The profits for the project would be as follows: Fixed cost include an annual charge of 110,000 for depreciation at the end of four years the capital equipment sold for 160,000 and recover 62.6% of working capital. The cost of capital is 12%. Required Calculate the NPV and IRR

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