Project B - minimum rate of return by 0.5%. Based on my...

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Based on the figures provided this proposal by Clark Paints is acceptable and will help reduce costs. The results I have provided on the attached excel spreadsheet proves that Clark Paints can save $72,540 by making their own paint cans instead of purchasing them. Even with the added equipment cost and the cost to train three new employees, Clark will still be able to exceed their
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Unformatted text preview: minimum rate of return by 0.5%. Based on my findings their internal rate of return will be 12.5% and they have a minimum required rate of return of 12%. I would ultimately recommend Clark Paints accept this proposal. Michele Baker 10-15-09 AC 505 Summer B 2009...
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This note was uploaded on 03/26/2012 for the course AC505 AC505 taught by Professor Dillan during the Spring '10 term at Keller Graduate School of Management.

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