Page 1 of 1
Following table shows the capital investment needed and annual revenues less expenses for 3 alternative investments. Tab
Posted: Thu May 26, 2022 7:13 am
by answerhappygod
- Following Table Shows The Capital Investment Needed And Annual Revenues Less Expenses For 3 Alternative Investments Tab 1 (242.92 KiB) Viewed 16 times
Following table shows the capital investment needed and annual revenues less expenses for 3 alternative investments. Table also indicated external rate of return (ERR) for each alternative. A B C Capital Investment 38.000$ 50.000$ 55.000$ Annual revenues less 11.000$ 14.100$ 16.300$ expenses (Profit) External Rate of Return (ERR) 21.1% 20.8% 21.4% Assuming a 10-year life and zero market value for each alternative, and by using &-MARR=%18, decide which alternative should be selected by using incremental analysis with ERR method (Show calculations).