The world’s Largest Sharp Brain Virtual Experts Marketplace Just a click Away
Levels Tought:
Elementary,Middle School,High School,College,University,PHD
| Teaching Since: | May 2017 |
| Last Sign in: | 402 Weeks Ago, 3 Days Ago |
| Questions Answered: | 66690 |
| Tutorials Posted: | 66688 |
MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
(ROI and RI) Magna Products has three divisions, A, B, and C. The current investments in and net profits earned by each division are as follows:
|
Division A |
 |
|
Investment |
$1,000,000 |
|
Net profit |
$75,000 |
|
Division B |
 |
|
Investment |
$1,500,000 |
|
Net profit |
$90,000 |
|
Division C |
 |
|
Investment |
$2,000,000 |
|
Net profit |
$150,000 |
Each division has put forward to the parent board a capital expenditure proposal for $500,000. Each expects to produce net profits of $40,000 from that investment. Magna's cost of capital is 7% per year.
Use ROI and RI calculations to
Hel-----------lo -----------Sir-----------/Ma-----------dam-----------Tha-----------nk -----------You----------- fo-----------r u-----------sin-----------g o-----------ur -----------web-----------sit-----------e a-----------nd -----------and----------- ac-----------qui-----------sit-----------ion----------- of----------- my----------- po-----------ste-----------d s-----------olu-----------tio-----------n.P-----------lea-----------se -----------pin-----------g m-----------e o-----------n c-----------hat----------- I -----------am -----------onl-----------ine----------- or----------- in-----------box----------- me----------- a -----------mes-----------sag-----------e I----------- wi-----------ll