A broadcasting corporation was formed duly approved by the Securities and Exchange Office has a working capital of ₱ 20 million and a fixed capital of ₱ 80 million. Annual depreciation amounts to ₱ 5 million and the expected annual profit is ₱ 16 million. Compute the payout period and recovery period in years

A broadcasting corporation was formed duly approved by the Securities and Exchange Office has a working capital of ₱ 20 million and a fixed capital of ₱ 80 million. Annual depreciation amounts to ₱ 5 million and the expected annual profit is ₱ 16 million. Compute the payout period and recovery period in years

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter19: Lease And Intermediate-term Financing

Section: Chapter Questions

Problem 8P

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