The Hotel Conneautis considering 3 the following capital budgeting projects
a. The Hotel Conneaut has internal funind for project one with $10,000. However, the 2 other projects would require new capital financing.
b. A new computer and software system for $10,000 with a 5 year life and an estimated return of 16%
c. The construction of a new deck and seating area for $8,000 also with a 5 year life and an estimated return of 12%
d. Lastly the purchase of a more efficient self contained fryer system for $5,000 with a life of 4 years and an estimated return of 10%
Which projects should they underta

Question

25-06-2024
Business

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The Hotel Conneautis considering 3 the following capital budgeting projects
a. The Hotel Conneaut has internal funind for project one with $10,000. However, the 2 other projects would require new capital financing.
b. A new computer and software system for $10,000 with a 5 year life and an estimated return of 16%
c. The construction of a new deck and seating area for $8,000 also with a 5 year life and an estimated return of 12%
d. Lastly the purchase of a more efficient self contained fryer system for $5,000 with a life of 4 years and an estimated return of 10%
Which projects should they underta

Sagot :

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