Mitchell, Inc $\quad$ $\quad$ $\quad$ $\quad$ $\quad$

question 17

Essay

Mitchell, Inc., is considering two mutually exclusive projects. Project 1 requires an investment of £80,000, while Project 2 requires an investment of £90,000.
Cash revenues and cash costs for each project are shown below: $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text { PROJECT } 1$
$\begin{array}{lrrrr}\text { YEAR }&1&2&3&4\\\text { Revenues } & £ 30,000 & £ 50,000 & £ 70,000 & £ 90,000 \\\text { Variable costs } & 8,000 & 12,000 & 20,000 & 25,000 \\\text { Fixed costs } & 12,000 & 10,000 & 10,000 & 10,000\end{array}$


$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text { PROJECT } 2$
$\begin{array}{lrrrr}\text { YEAR }&1&2&3&4\\\text { Revenues } & £ 65,000 & £ 80,000 & £ 60,000 & £ 40,000 \\\text { Variable costs } & 15,000 & 30,000 & 14,000 & 12,000 \\\text { Fixed costs } & 5,000 & 20,000 & 10,000 & 8,000\end{array}$ The company estimates that at the end of the fourth year Project 1 would have a salvage value of £10,000 and Project 2 would have a salvage value of £5,000.
a.Determine the net present value of EACH project using an 8 per cent discount rate.
b.Prepare a memorandum for management stating your recommendation. Include supporting calculations in good form.

Understand differential attrition rates among racial/ethnic minority group patients in psychotherapy.

Acknowledge the unique psychotherapy needs and experiences of LGBT clients, including risks associated with reparative therapy.

Understand the changes in sleep patterns and stages across different ages.

Recognize the role of REM and slow-wave sleep in cognitive and physiological functioning.

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Definitions:

Tunica Media

The middle, muscular layer of the walls of arteries and veins, responsible for regulating the diameter of the vessels.

Smooth Muscle

A type of muscle found in the walls of internal organs such as the intestines and blood vessels, responsible for involuntary movements.

Celiac Trunk

A major artery that supplies blood to the abdominal organs, including the stomach, spleen, and liver.

Blood Pressure

The pressure of circulating blood against the walls of blood vessels, typically measured in millimeters of mercury (mmHg).