Wells fargo is contemplating opening a new branch in salisbury, NC to comete with bank of america, the new branch will cost $100,000,000 to build. Wells fargo will send and additional $10,000,000 in marketing, training, and miscellaneous setup cost, wells fargo projects that the new brand will earn $14,000,000 per year in gross profit for its 35yr life.

Wells fargo is contemplating opening a new branch in salisbury, NC to comete with bank of america, the new branch will cost $100,000,000 to build. Wells fargo will send and additional $10,000,000 in marketing, training, and miscellaneous setup cost, wells fargo projects that the new brand will earn $14,000,000 per year in gross profit for its 35yr life. Discount rate is 12%
calculate the npv, irr, payback period profitability index and simple rate of return.








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