Investment Decisions Case
Mini-case: Conch Republic Electronics
a. Payback period of the project
Years Prototype Market
Study Equipments Variable Fixed Total cost Sales
price Sales
Volume Total sales
1 750,000 200,000 15,000,000 6,020,000 3,000,000 24,970,000 250 70,000 17,500,000
2 6,880,000 3,000,000 9,880,000 250 80,000 20,000,000
3 8,600,000 3,000,000 11,600,000 250 100,000 25,000,000
4 7,310,000 3,000,000 10,310,000 250 85,000 21,250,000
5 6,450,000 & ...