#ENG-6203
Awesome StudentQuestion • Engineering Economincs

A proposed manufacturing plant will require a fixed capital investment of P8,000,000 and an estimated working capital of P1,500,000 Annual depreciation is estimated to be 8% of fixed capital investment If the annual profit is P2,000,000, determine the rate of return on the total investment and minimum payout period

Answer

Rate of Return (ROR)=2105%>8%