A new factory would require a fixed and variable production costs of 325500000 $. It is estimated that variable costs of production will amount to 21% of the cash cost of production, and annual depreciation costs are estimated to be 12% of the fixed and variable production. If the annual profit are going to be 500000 $ million, determine the quality percent return on the entire cost and the minimum payout period.
A new factory would require a fixed and variable production costs of 325500000 $. It is estimated that variable costs of production will amount to 21% of the cash cost of production, and annual depreciation costs are estimated to be 12% of the fixed and variable production. If the annual profit are going to be 500000 $ million, determine the quality percent return on the entire cost and the minimum payout period.
Chapter1: Making Economics Decisions
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![A new factory would require a fixed and variable production costs of
325500000 $. It is estimated that variable costs of production will
amount to 21% of the cash cost of production, and annual depreciation
costs are estimated to be 12% of the fixed and variable production. If
the annual profit are going to be 500000 $ million, determine the
quality percent return on the entire cost and the minimum payout
period.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fabcfaea1-556b-4057-8f73-1012b20137fd%2F5d934ff2-d766-421f-9dac-c824350f0ec3%2Fnjd5n_processed.jpeg&w=3840&q=75)
Transcribed Image Text:A new factory would require a fixed and variable production costs of
325500000 $. It is estimated that variable costs of production will
amount to 21% of the cash cost of production, and annual depreciation
costs are estimated to be 12% of the fixed and variable production. If
the annual profit are going to be 500000 $ million, determine the
quality percent return on the entire cost and the minimum payout
period.
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