Accnt Hw P13-29 - 3 Payback period 4.974 <5 The cherry...

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P 13-29 1 Annual saving in larbor costs 40000 Annual operating cost -19000 Annual saving in cash operating cost 21000 2 Simple rate of return 22% > 16% factor The cherry picker would be purchased if Elberta Fruit Farm's required rate of return is 16%
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Unformatted text preview: 3 Payback period 4.974 <5 The cherry picker would be purchased 4 Internal rate of return 4.974 =17% The simple rate of return is not an accurate investment decisions....
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This note was uploaded on 09/04/2011 for the course ECON 161 taught by Professor Jamesbaker during the Fall '11 term at University of Houston.

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