Fabrication committee to evaluate proposals for modification manufacturing system. Two proposals have been finalized and accepted for consideration with both proposals have a same capital investment $30,300. Both proposals able to give net saving and return to the company for 9 years because of less non-defective unit and the increase of productivity as shown in Figure la and 1b. Analyze which proposal have the best return of investment for 9 years. 12% per year compounded quarterly 20,000 20,000 20,000 9,000 9,000 이 9T years Proposal 1 Cash Flow Diagram 10% per year
Fabrication committee to evaluate proposals for modification manufacturing system. Two proposals have been finalized and accepted for consideration with both proposals have a same capital investment $30,300. Both proposals able to give net saving and return to the company for 9 years because of less non-defective unit and the increase of productivity as shown in Figure la and 1b. Analyze which proposal have the best return of investment for 9 years. 12% per year compounded quarterly 20,000 20,000 20,000 9,000 9,000 이 9T years Proposal 1 Cash Flow Diagram 10% per year
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter12: Capital Investment Analysis
Section: Chapter Questions
Problem 7E
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