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Assume a Proposed System Has a Useful Life of 5

question 57

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Assume a proposed system has a useful life of 5 years,one-time costs of $50,000,recurring costs of $25,000 per year,and tangible benefits of $45,000 per year.If the cost of capital is 10%,what is the overall NPV? Overall ROI? Break-even point?


Definitions:

Decision Making

The process of making choices by identifying a decision, gathering information, and assessing alternative resolutions.

Dominance Structuring

The organization of entities in a hierarchy where some have control or power over others.

Psychological Process

The mental functions and actions by which an individual perceives, thinks, feels, and behaves.

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