TABLE P6-82 Data for Problems 6-82 through 6-85 A B D E Capital investment Annual expenses Annual revenues $90,000 40,000 52,000 15,000 $60,000 $40,000 25,000 38,000 10,000 30.8% $30,000 15,000 28,000 10,000 $70,000 30,000 35,000 50,000 45,000 Market value at EOY 10 10,000 15,000 IRR ??? 7.4% 42.5% 9.2%
TABLE P6-82 Data for Problems 6-82 through 6-85 A B D E Capital investment Annual expenses Annual revenues $90,000 40,000 52,000 15,000 $60,000 $40,000 25,000 38,000 10,000 30.8% $30,000 15,000 28,000 10,000 $70,000 30,000 35,000 50,000 45,000 Market value at EOY 10 10,000 15,000 IRR ??? 7.4% 42.5% 9.2%
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
The following mutually exclusive investment alternatives have been presented to you. The life of all alternatives is 10 years. Use this information to solve, After the base alternative has been identified, the first comparison to be made in an incremental analysis should be which of the following? (a) C →B (b) A→B (c) D→E (d) C →D (e) D→C.
Transcribed Image Text:TABLE P6-82 Data for Problems 6-82 through 6-85
A
B
D
E
Capital investment
Annual expenses
Annual revenues
$90,000
40,000
52,000
15,000
$60,000
$40,000
25,000
38,000
10,000
30.8%
$30,000
15,000
28,000
10,000
$70,000
30,000
35,000
50,000
45,000
Market value at EOY 10
10,000
15,000
IRR
???
7.4%
42.5%
9.2%
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