Question

A machine costs Rs.25,000. It will yield cash profit of Rs.7500 p.a for the next 5 years. If the

interest rate is 18% p.a., would you consider investing in the machine?... ​

Answer 1

Answer:

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Step-by-step explanation:

If company wants to … As the cost of the equipment according to "A" is Rs.70,000, it's Payback period … than 5 years as this figure falls between cumulative cash inflows after tax for … Interest on reinvestment.

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