Assume a business is deciding whether to invest in a new project that is projected to generate profits of $90000 each year for the next...?

Question

A) If the business normally earns 11% on its investments, should the business invest? B) If the business normally earns 5% on its investments, should it invest?

Answer 1

Hi RRL,

I think we would need some more info here, i.e. how much would the initial investment be?