Question Description
2 PAGES MAX AND READ Whats BELLOW AND THE CASE IS IN THE FILE
Your task: John Harquest, an assistant to the CFO, has asked you (a financial analyst at Paccar) to analyze this new technology project and write a short report (maximum of 2 typed pages, double spaced, font size 12, one inch margins all around) describing the project, your methods of analysis, your results, and your recommendation. John is expecting you to apply the traditional performance measures used at Paccar (NPV, IRR, and the payback period) for each alternative to obtain the new technology (buy and build). Additionally, John recently has heard about another performance measure called the modified internal rate of return (MIRR) and would like you to learn about it and apply it to this analysis realizing that the decision makers at Paccar are not familiar with this measure. Based on your financial analysis (four performance measures) would you recommend: buy, build, or pass on the new technology? Additionally, Mr. Harquest would like you to identify any non-quantifiable issues that maybe relevant to this decision and describe how they would affect your original recommendation that was based solely on the quantitative analysis. He needs your report by midnight Pacific Standard Time on Wednesday, April 15th.