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Sales of the product during the year ended 31 December 2008 and the next three years are expected to be as follows:

2008 50000 sales units
2009 52500 sales units
2010 55000 sales units
2011 54000 sales units

selling price unit variable cost and fixed overhead costs are expected to be as follows:
selling price per unit $2400
Variable production cost per unit $1500
variable selling & distribution cost per unit $200
Fixed production cost for the year $8000000
Fixed selling and distribution cost for the year $4000000
Fixed administration cost for the year $4000000.

find out the internal rate of return of the investment


Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M940602

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