Goodweek Tires, Inc.
As a financial analyst of the company, the following methods
? NPV
? IRR
? Payback Period
? Discounted Payback Period
? AAR and,
? Profitability Index
were used as basis of decision-making process to evaluate the financial feasibility of the I would not recommend the project, SuperTread project, due to the below considerationsbecause of the following reasons:. Summary of the results are:
|1 |NPV |(8.5M) |< 0 |
|2 |IRR |13.25% |< 15.9% of company discount rate|
|3 |Payback Period ...