ABC Holding will pay 3.500.000 ₺ to realize a new venture. wants to buy a factory worth. Also for the workshops section Payment of 1.500.000 ₺ and 1.000.000 ₺ for the construction of administrative buildings will be made. The factory, which has an economic life of 15 years, at the end of this period It is foreseen to be sold for 1.000.000 ₺. It will be produced from the factory It is estimated that the demand for the product will be 15,000 units / year and will increase by 5% each year. are being. The unit cost of the product is 20 ₺ and the sales price is 50 ₺. prices increase by 15% annually. The lowest interest rate expected from the investment Since it is 18%, the next time will be whether this investment should be made or not. Evaluate according to the method.

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter9: Capital Budgeting And Cash Flow Analysis
Section: Chapter Questions
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ABC Holding will pay 3.500.000 ₺ to realize a new venture. wants to buy a factory worth. Also for the workshops section Payment of 1.500.000 ₺ and 1.000.000 ₺ for the construction of administrative buildings will be made. The factory, which has an economic life of 15 years, at the end of this period It is foreseen to be sold for 1.000.000 ₺. It will be produced from the factory It is estimated that the demand for the product will be 15,000 units / year and will increase by 5% each year. are being. The unit cost of the product is 20 ₺ and the sales price is 50 ₺. prices increase by 15% annually. The lowest interest rate expected from the investment Since it is 18%, the next time will be whether this investment should be made or not. Evaluate according to the method.

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