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Author Question: Griffith Vehicle has received three proposals for its new vehicle-painting machine. Information on ... (Read 54 times)

ts19998

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Griffith Vehicle has received three proposals for its new vehicle-painting machine. Information on each proposal is as follows:

Proposal XProposal YProposal Z
Initial investment in equipment$240,000$150,000$190,000
Working capital needed0010,000
Annual cash saved by operations:
   Year 180,00050,00080,000
   Year 280,00042,000           80,000 
   Year 380,00046,00080,000
   Year 480,00024,00080,000
Salvage value end of year:
   Year 1100,00080,00060,000
   Year 280,00060,00050,000
   Year 340,00040,00030,000
   Year 410,00020,00015,000
Working capital returned0010,000
 
Required: 
Determine each proposal's payback.


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Marked as best answer by ts19998 on Mar 6, 2021

lauravaras

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ts19998

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Reply 2 on: Mar 6, 2021
Excellent


jomama

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Reply 3 on: Yesterday
:D TYSM

 

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