SASCO is considering six independent proposals. Life span of each purchase is as
ID: 1228554 • Letter: S
Question
SASCO is considering six independent proposals. Life span of each purchase is
assumed to be essentially infinite. The established MARR is 11% (available
at the bank) and the budget is $50,000.00.
Proposal
Proposal
Proposal
Proposal
Proposal
Proposal
1
2
3
4
5
6
Annual Revenue
$ 1,610.00
$ 2,580.00
$ 1,190.00
$ 1,500.00
$ 1,100.00
$ 4,950.00
Investment
$ 10,000.00
$ 11,000.00
$ 12,000.00
$ 13,000.00
$ 9,500.00
$ 45,000.00
i* = R/I
Which projects are to be chosen and why?
At the end of one year, how much money will be SASCO have from this $50,000 investment?
(hint… remember remaining $ can be invested in bank @ 11%)
SASCO is considering six independent proposals. Life span of each purchase is
assumed to be essentially infinite. The established MARR is 11% (available
at the bank) and the budget is $50,000.00.
Proposal
Proposal
Proposal
Proposal
Proposal
Proposal
1
2
3
4
5
6
Annual Revenue
$ 1,610.00
$ 2,580.00
$ 1,190.00
$ 1,500.00
$ 1,100.00
$ 4,950.00
Investment
$ 10,000.00
$ 11,000.00
$ 12,000.00
$ 13,000.00
$ 9,500.00
$ 45,000.00
i* = R/I
Which projects are to be chosen and why?
At the end of one year, how much money will be SASCO have from this $50,000 investment?
(hint… remember remaining $ can be invested in bank @ 11%)
Explanation / Answer
the annual revenue has to be chosen........it is profitable
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.