Report course project B - incremental revenue The...

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Recommendation: Summary of the analysis is as here under: Payback Period 4 years Annual Rate of Return 28.55% Net Present Value $10,096 Internal Rate of Return 13.79% We have applied four project evaluation techniques both including discounting and non- discounting techniques. The payback period of the project is almost four years that is less than the life of equipment. It means the project will cover cost in 4 years and will generate
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Unformatted text preview: incremental revenue. The accounting rate of return is also good with 28.55%. We have applied two discounted cash flow techniques namely net present value and internal rate of return. The net present value of the project is $10,096 and likewise the IRR is higher than the hurdle rate of project. Keeping in view the above facts and figures, project will be worth accepting....
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