URGENT: Please kindly show working methods. This is for an exam due today. Thank you so much. Your help is very much appreciated
SUBJECT: MANAGEMENT ACCOUNTING
Urgent Please Kindly Show Working Methods This Is For An Exam Due Today Thank You So Much Your Help Is Very Much App 1 (20.78 KiB) Viewed 14 times
Urgent Please Kindly Show Working Methods This Is For An Exam Due Today Thank You So Much Your Help Is Very Much App 2 (106.87 KiB) Viewed 14 times
5.1.3 Calculate the Net Present Value of each project (with amounts rounded off to the nearest Rand). Use your answers from question 5.1.3 to recommend the project that should be chosen. Motivate your choice. 5.1.4 (6 marks) (1 marks)
INFORMATION Zeda Enterprises has the option to invest in machinery in projects A and B but finance is only available to invest in one of them. You are given the following projected data: Initial cost Scrap value Depreciation per year Net profit Year 1 Year 2 Year 3 Year 4 Year 5 Net cash flows Year 1 Year 2 Year 3 Year 4 Year 5 Additional information The discount rate used by the company is 12%. Project A R300 000 R40 000 R52 000 R20 000 R30 000 R50 000 R60 000 R10 000 Project B R300 000 0 R60 000 R90 000 R90 000 R90 000 R90 000 R90 000 ||
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