📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!

    One Click Can Change Your Exam Journey—Do It Before It Ends! ⏰

    Question

    Based on the following information- calculate the

    initial investment in the project. Cost of machine = Rs. 54,00,000 Installation charges = Rs. 12,000 Sunk cost = Rs. 23,000 Working capital investment required at start= Rs. 1,00,000 Revenue from products at end of year 1 = Rs. 2,40,000 Tax rate = 12%
    A 54,12,000 Correct Answer Incorrect Answer
    B 55,12,000 Correct Answer Incorrect Answer
    C 54,00,000 Correct Answer Incorrect Answer
    D 55,23,000 Correct Answer Incorrect Answer
    E 54,35,000 Correct Answer Incorrect Answer

    Solution

    Initial investment = Cost of machine + installation charges + working capital Initial investment = 55,12,000

    Practice Next
    More Alternate Sources of Finance Questions

    Relevant for Exams:

    ask-question