The elements that should be considered for writing a research plan are:
- state which your research will be about
- objectives of the research
- theory ( it is called literature review). At this stage you should mention the publications you have read, point out inconsistencies, identify what you might use, make sure to write a synthesis.
- research questions and hypothesis
- approach (briefly discuss the approach you are using)
- imformation sources
Based on the projected net incomes and cost of purchasing the equipment, the average accounting rate of return is 12.5%.
<h3>How can we find the average accounting rate of return?</h3>
This can be found as:
= Average cashflows / Average investment
Average cashflows are:
= (7,200 + 11,300 + 14,100 + 20,000) / 4
= $13,150
Average investment is:
= 210,000 / 2
= $105,000
The average accounting rate of return is:
= 13,150 / 105,000
= 12.5%
The new equipment should not be bought if the required AAR is 12% because it would be less than the AARR.
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The most important
development is that
they decide to get
married.