Subject category:
Case Method and Specialist Management Disciplines
Published by:
Darden Business Publishing
Version: 18 July 2013
Revision date: 13-Sep-2016
Length: 3 pages
Data source: Published sources
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Abstract
A road construction company needs a new asphalt plant and must decide between two options: a drum plant with a 10-year life or a batch plant with a 5-year life. In addition, the company must decide which of two offers to accept from local dealerships for heavy equipment to support the new plant. The case provides comparison of net present value, internal rate of return, payback, and profitability index as criteria for making investment decisions.
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Subject category:
Case Method and Specialist Management Disciplines
Published by:
Darden Business Publishing
Version: 18 July 2013
Format:
.pdf
Data source: Published sources
About
Abstract
A road construction company needs a new asphalt plant and must decide between two options: a drum plant with a 10-year life or a batch plant with a 5-year life. In addition, the company must decide which of two offers to accept from local dealerships for heavy equipment to support the new plant. The case provides comparison of net present value, internal rate of return, payback, and profitability index as criteria for making investment decisions.
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Industries:
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Subject category:
Case Method and Specialist Management Disciplines
Published by:
Darden Business Publishing
Version: 18 July 2013
Format:
.pdf
Data source: Published sources