Payback period

Introduction: Dunkin Brands is a multinational company operating in almost 60 countries. Dunkin Brands expands on franchisee model with its two quick serving restaurant chains (QSR) Baskin and Robbins and Dunkin Donuts. Dunkin Donuts is now looking for entering the Finnish market. In 2014 Dunkin Brands did not meet its expectations and its stock price fell .Moreover many of Dunkin Donuts competitors have already taken advantage of growing Finnish fast food and coffee shop market and in…

The company has purchased equipment which cost $25 million with the renovation and installation cost is $3 million and they have to pay the import duty cost which is 8% of the purchase price so the import duty is $2 million; thus, the total money the company has spent for the new PPE is $30 million. The PPE has the 8% depreciation which is last twelve economic years. Hence, each year the profit of the company will deduct an amount of the depreciation expense that is $2.4 million; because of the…

key values of focus. As a group we were asked to discuss what the best options were and what decision should the portfolio management steering committee take. The important aspects taken into consideration while choosing the projects were ARR, Payback period and NPV and IRR. The choice had to be made between Best Cola, Joe & Tony and Checkers Pizza. We started calculating the values for each of the project and as a group we decided to stick to Joe&…

The CEO of Louisville Slugger has asked you to prepare a brief report on the profitability of producing the Exogrid. In particular, the CEO would like to know the net present value, internal rate of return, profitability index, payback period, and discounted payback period of the Exogrid capital budgeting…

If the IT investment has a short payback period then it is more viable. Information economics; this type of information technology investment incorporates the calculation of the total value of the IT investment, based on a enhanced return on investment by the organization. Balanced scorecard;…

POINT OF VIEW The case will be reviewed from the perspective of Frank Greystock, the Financial Controller of Victoria Chemical’s Merseyside Plant. CASE CONTEXT Victoria Chemicals (VC) is the leading producer in polypropylene, an essentially priced commodity. It has two plants dedicated to its production, Merseyside and Rotterdam, sharing a similar scale, size, age, and design. Given the age and design of both plants, VC incurs a higher cost per unit of output relative to its competitors,…

the calculation returns with investments with a positive value then this would mean the companies investment will be successful but if there is a negative net present value, it means there will be a loss and companies should not invest the money. Payback is a financial accounting tool which allows companies to see how long it will take before the investment is paid off. This method will give them a strong idea of the year and month that the investment will be paid…

With the economy being so low, we understand the importance of bring our customers the best quality of service and good. We will try to maintain the price of $7 per person including drinks for as long as we can. * * * * 3.0 Capital Expenditure Budget 3.0 Capital Expenditure Budget * The budget for capital expenditures would be $65,000. This cost would be upgrading the equipment or buying new pizza ovens or dishwasher. The food inventory would also be a capital…

in the play, Hamlet is the exact opposite. Hamlet by William Shakespeare reveals the turmoil and pain a community feels when revenge and corrupt truth work hand in hand to create an unjust society. Revenge could be defined as gaining payback by harming someone who has wronged you or your family. In a sense, revenge is…

the terms and conditions, so when looking for a fast loan it is important to weight the options. Check advance loans are where a person gets a short term loan that they secure by writing a post dated check. These loans are usually given for a short period of time, anywhere from two weeks to a month. When the loan is due the borrower can either pay off the loan or let the cash advance store cash the check they gave them. These loans are usually for small amounts, ranging from fifty to a couple…