Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. finger foods wants to upgrade their kitchen applia

Finger Foods wants to upgrade their kitchen appliances at a cost of 269,000 . Their...

80.2K

Verified Solution

Question

Accounting

image
Finger Foods wants to upgrade their kitchen appliances at a cost of 269,000 . Their old appliances will be hauled off for scrap metal. The new appliances are expected to have a four year life and be sold for $12,000 at the end of their useful life. The appliances are more energy efficient and so are expected to lower costs by 49,000 each year as well as increase production and sales by 74,000 each year. Their working capital is not expected to change much. The required rate of return is 8%. What is the profitability index of this investment (rounded to two decimal places)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Rewrite the expression using exponents 6 5 5 1 6 6 5 5 5L

Basic Math
Q

A Plants exhibit positive gravitropism by their roots growing in response to gravity sideways B...

Biology
Q

3 A prism of a certain angle deviates the red and blue rays by 8...

Physics
Q

As shown in the figure a 60 cm length of uniform wire of mass 60...

Physics
Q

Determine the values of x for which the function can be replaced by the Taylor...

Calculus
Q

A water tank filtration plant is built in the shape of an inverted cone with...

Calculus
Q

equal to a 20% return on invested assets of $602,000. \table[[Fixed...

Accounting
Q

Need to Prepare Balance sheet and Income Statement ...

Accounting
Q

Sports Plus Inc. has a number of divisions, including the Nylon Plus Division, producer of...

Accounting
Q

On December 31,2019, Skysong Corporation signed a 5-year, non-cancelable lease for a machine....

Accounting
Q

Mohr Company purchases a machine at the beginning of the year at a cost of...

Accounting
Q

the inventory observation substantive procedure is a vital procedure. identify at least 5 procedures the...

Accounting