SAW. Compute the Net Present Value, the Profitability Index, and the Internal Rate of Return...

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Accounting

SAW. Compute the Net Present Value, the Profitability Index, and the Internal Rate of Return for the following problem. A company is considering a further expansion in its production line. For these purposes, it has prepared estimates of its NCF associated with said expansion. The initial cost or expense will be $ 2,500,000 and the project will produce an NCF of $ 750,000 per year for the next six years. The company wants a return on its investment of 11%. Based on this information compute the values mentioned at the beginning of this problem. In addition, you must indicate if the company should accept the project and the reasons for it.
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VI. Compute el Net Present Value, el Profitability Index, y la Internal Rate of Return para el siguiente problema. Una empresa est considerando una expansin mayor en su lnea de produccin. A esos efectos, a preparado unos estimados de sus NCF asociadas con dicha expansin. El gasto o costo inicial ser de $2,500,000 y el proyecto producir unas NCF de $750,000 por ao por los prximos seis aos. La empresa desea un rendimiento en su inversin de un 11%. A base de esta informacin compute los valores mencionados al principio de este problema. Adems, deber indicar si la empresa debe aceptar el proyecto y las razones para ello

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