Q15
A firm, having a cost of capital of 12%, evaluates a small mining project of initial investment of Rs. 100 lakhs. For the benefits shown in the table below, the benefit-cost ratio of the project is Year 1 2 3 4 Benefits (Rs. in lakhs) 25 40 40 50
A firm, having a cost of capital of 12%, evaluates a small mining project of initial investment of Rs. 100 lakhs. For the benefits shown in the table below, the benefit-cost ratio of the project is
| Year | 1 | 2 | 3 | 4 |
| Benefits (Rs. in lakhs) | 25 | 40 | 40 | 50 |
A.
0.985
B.
1.145
AnswerC.
1.384
D.
1.550
Answer: Option B
Solution
Answer: Option B
No explanation is given for this question Let's Discuss on Board