Question
The project is requiring an investment of 40000 and is
depreciated on a SLM basis and the Cash Inflows of the project are the following, what is the ARR? Year Cash flows 1 6000 2 9000 3 7000 4 8000 5 10000Solution
In this case we need to convert Cash flows to profits like the following: Profits = Cash inflows + depreciation. Here depreciation is (40000/5) = 8000. So, average profits = 16000 and the average investment = 20000. ARR= Average profits/ Average investment. Therefore, ARR = 16000/20000 = 80%
Grass tetany is caused by:
When was the Cotton Corporation of India (CCI) established?
Which was the very initial act in India that provides the protection from adulteration/contamination of food that may lead to the health risk of consume...
A rise either in real output (GDP) or in real output per capita is named __ ?
The ratio between C and N crop residue generally ranges between __ ?
Sunflower oil is recommended for heart patients since it contains high percentage of which unsaturated fatty acids?
Soils having white encrustation of soluble salts at the surface, known as __ ?
Based on mode of organization and functioning groups are classified as:
What is opportunity cost ?
A combination of contouring and crop rotation, in which alternate rows are constructed perpendicular to the direction of wind and water flow, to prev...
