Question: You want to evaluate 2 projects A & B. - project A will cost 50,000 USD and B will cost 70,000 USD, - operations costs
You want to evaluate 2 projects A & B. - project A will cost 50,000 USD and B will cost 70,000 USD, - operations costs are 12000 for A and 15000 for B - revenues for A are expected to be 24000 USD per year and for B 36000 USD per year - project A is expected to last 6 years and B for 7 years
a- Analyze both projects, using the payback period method, calculate the cut-off period for each and decide which one to choose (Please show brief logic of calculations for Project A, and then just state the answers for Project B)Required to answer. Multi Line Text.
(10 Points)
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