- 3 Suppose That That You Have Two Investment Alternatives X And Y For Your Business Suppose Also That The Discount Rat 1 (30.36 KiB) Viewed 36 times
3) Suppose that that you have two investment alternatives (X and Y for your business. Suppose also that the discount rat
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3) Suppose that that you have two investment alternatives (X and Y for your business. Suppose also that the discount rat
3) Suppose that that you have two investment alternatives (X and Y for your business. Suppose also that the discount rate is 10%. The lifetime of these two alternatives are 2 years in which the necessary initial investments and the annual net revenues are given by the following table: Initial Year 1 net Year 2 net investment (TL) revenue (TL) revenue (TL) х 100,000 60,000 60,000 Y 15,000 30,000 -5,000 What will be your decision? Explain your reasoning. (20 pts)