Deal or No Deal?
Your neighborhood self-service laundry is for sale and you cogitate investing in this affair. For the affair peculiar and no other property (such as construction and place), the dissipation expense is $240,000. The net specie flows for the purpose are $30,000 per year for the next 5 years. You contrivance to hypothecate the specie for this cannonade at 5%.
Prepare a net introduce appraise regard for this purpose. What is the net introduce appraise of this purpose?
Calculate the humble payback age for this purpose. Your desired payback age is 5 years. How hanker is the payback age for this purpose?
Is this a amiable cannonade? What would be a amiable expense at which to dissipation this affair?
Submit an Excel spreadsheet which must embody the counterparts to all 3 investigations: 1) A Net Introduce Appraise regard, 2) a Humble Payback Age regard, and 3) the counterpart to investigation concerning whether this is a amiable cannonade and what the best expense should be.
The use of 1 knowing commencement (e.g., textbook, article from the CEC Library) is required.