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CBAP · Question #385

A company has a process improvement initiative that is projected to increase revenue by $150,000 USD non- compounded per year. The budgeted cost of the initiative is $200.000 and supporting the initia

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Strategy Analysis

Question

A company has a process improvement initiative that is projected to increase revenue by $150,000 USD non- compounded per year. The budgeted cost of the initiative is $200.000 and supporting the initiative will cost $30.000 for years two and three. What is the projected return on investment over the first 3 years?

Options

  • A44%
  • B73%
  • C40%
  • D51%

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Topics

#ROI calculation#financial analysis#cost benefit analysis#business case
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