D2 Find the madified BI C gatio for the followingproject. Use PW formulation- Also test the feasibilityInvest ment Chs)Expected life Cyrs)Salvoge value O CRsAnnual Benefit CRis).Annual O& M costsInterest Rate Ci:)=D1,00,000= 10,000%3D80,000=16

Modified B/C ratio stands for modified benefit cost ratio. It is calculated by subtracting the…

Find the modified BI C gatio for the following project. Use PW formulation- Also test the feasibility Invest ment Chs) Expected life Cyprs). Salvoge value O CR Annual Benefit Ch), Annual OfM costs Intexest Rate Ci-) Ig00,000 %3D 10,000 p 80.000 80,000 =40,000 %3D %3D =16 %3D

Find the modified BI C gatio for the following project. Use PW formulation- Also test the feasibility Invest ment Chs) Expected life Cyprs). Salvoge value O CR Annual Benefit Ch), Annual OfM costs Intexest Rate Ci-) Ig00,000 %3D 10,000 p 80.000 80,000 =40,000 %3D %3D =16 %3D

Accounting Information Systems

10th Edition

ISBN:9781337619202

Author:Hall, James A.

Publisher:Hall, James A.

Chapter13: Systems Development And Program Change Activities

Section: Chapter Questions

Problem 12P: COST-BENEFIT ANALYSIS Listed in the diagram for Problem 7 are some probability estimates of the...

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Concept explainers

Capital Gain

Any capital asset when sold can give the seller a higher or lower price from its purchase price leading to a capital gain or capital loss. The time period of holding an asset is decided based on if it is a long term or short-term capital gain. On that basis, the rate of taxation is decided if it is 20%, 15% or according to the tax brackets. The rate of taxation differs in the case of equity or debt, whether long or short term. The capital gain can be adjusted from capital loss to arrive at a net capital gain. The amount of gains and the exemption has to be reported in the tax return filed in the financial year in which the asset was transferred. The tax return can be filed quarterly, monthly, semi-annually or annually.

Question

Find the madified BI C gatio for the following
project. Use PW formulation- Also test the feasibility
Invest ment Chs)
Expected life Cyrs)
Salvoge value O CRs
Annual Benefit CRis).
Annual O& M costs
Interest Rate Ci:)
=D1,00,000
= 10,000
%3D
80,000
=16

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