Ramu started business with rs 1000000.give me journal entry. plz explain brefily
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Answer / lalit
Cash A/c Dr 1000000
To Capital A/c 1000000
(being business started)
| Is This Answer Correct ? | 53 Yes | 7 No |
Equipment A has a cost of Rs.75,000 and net cash flow of Rs.20000 per year for six years. A substitute equipment B would cost Rs.50,000 and generate net cash flow of Rs.14,000 per year for six years. The required rate of return of both equipments is 11 per cent. Calculate the IRR and NPV for the equipments. Which equipment should be accepted and why?
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