v) | Correct Option: C | ||||
Since BCR for option c is higher than others. | |||||
vi) | |||||
Year | Cash Flow | Cumulative Cash flows | |||
0 | -65000 | -65000 | |||
1 | -98100 | -163100 | |||
2 | -1619 | -164719 | |||
3 | 31416 | -133303 | |||
4 | 35000 | -98303 | |||
5 | 36500 | -61803 | |||
6 | 37500 | -24303 | |||
7 | 38000 | 13697 | |||
8 | 38000 | 51697 | |||
9 | 32000 | 83697 | |||
10 | 25000 | 108697 | |||
In year 7, negative cash flow became positive hence payback period is year 7. | |||||
Correct Option: C | |||||
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thank you v) Given the following benefit-to-cost ratio (BCR) information, choose the best option. Benefits Costs...