Discount Rate (9%) PV of Benefits $550,458 $0 $505,008 NPV of all BENEFITS $0 $550,458 $1,055,466 One-time COSTS $400,000 Recurring COSTS șo Discount Rate (9%) V of Recurring Costs $200,000 $200,000 $200,000 $200,000 $200,000 $0 $183,486 NPV of All COSTS $400,000 $583,486 Dverall NPV Dverall ROI

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Time Value of Money
System Analysis and Design

System Analysis and Design - Assignment 2
Year 0 Year 1
Year 2
Year 3
Year 4 Year 5
Totals
Net Economic Bene so
$600,000 $600,000
$600,000
$600,000
$600,000
Discount Rate (9%)
PV of Benefits
$0
$550,458
$505,008
NPV of all BENEFITSS
$0
$550,458
$1,055,466
One-time COSTS
$400,000
Recurring COSTS $O
Discount Rate (9%)
PV of Recurring Costs
$200,000
$200,000
$200,000
$200,000
$200,000
$0
$183,486
NPV of All COSTS
$400,000 $583,486
Overall NPV
Overall ROI
Transcribed Image Text:System Analysis and Design - Assignment 2 Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Totals Net Economic Bene so $600,000 $600,000 $600,000 $600,000 $600,000 Discount Rate (9%) PV of Benefits $0 $550,458 $505,008 NPV of all BENEFITSS $0 $550,458 $1,055,466 One-time COSTS $400,000 Recurring COSTS $O Discount Rate (9%) PV of Recurring Costs $200,000 $200,000 $200,000 $200,000 $200,000 $0 $183,486 NPV of All COSTS $400,000 $583,486 Overall NPV Overall ROI
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