Dawn and Amelia work for an international advertising agency. They are presented with four possible product...
Dawn and Amelia work for an international advertising agency. They are presented with four possible product campaigns for the year, of which they must choose only one. The annual interest rate is 5%. They must choose the campaign which will be most profitable to the company overall. The chart contains the costs and benefits for each of the projects. Use the information in the chart to calculate the net present values and answer the questions. Dollars Dollars realized one Campaign realized today year from today (in (in thousands) thousands) Globutel -23 210 Wireless Yummy 150 Tummy Pudding NiCad Electric Cars Excelsis Hot Air Balloons -22 -70 What is the nel present value of the Excelsis Hot Air Balloon campaign (in thousands)? thousand Using your net present value calculations, which of the four campaigns are Dawn and Amelia most likely to select? Globatel Wireless 0 Yummy Tummy Pudding Excelsis Hot Air Balloons NiCad Electric Cars Which of the statements is true in relation to the information presented in the table Short-term payolls may not always be the best option. The interest rate aflected the present value of all of these options. O Projects that incur axts will always produce a profil Only large companies can produce profits in the hal term