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Author Question: Cedile Trailer Supply has received three proposals for its new trailer assembly line. Information on ... (Read 85 times)

Diane

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Cedile Trailer Supply has received three proposals for its new trailer assembly line. Information on each proposal is as follows:

Proposal XProposal YProposal Z
Initial investment in equipment$180,000$140,000$145,000
Working capital needed0015,000
Annual cash saved by operations:
   Year 160,00060,00060,000
   Year 260,00050,000   60,000
   Year 360,00035,00060,000
   Year 460,00010,00060,000
Salvage value end of year:
   Year 130,00025,00045,000
   Year 225,00020,00040,000
   Year 320,00015,00035,000
   Year 415,00010,00025,000
Working capital returned:0015,000
 
Required: 
Determine each proposal's payback.


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Marked as best answer by Diane on Mar 6, 2021

daiying98

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Diane

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Reply 2 on: Mar 6, 2021
Gracias!


softEldritch

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Reply 3 on: Yesterday
Excellent

 

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