@article{Asante:202877,
      recid = {202877},
      author = {Asante, Michael K. and Kuwornu, John K. M.},
      title = {A comparative analysis of the profitability of  pineapple-mango blend and pineapple fruit juice processing  in Ghana},
      journal = {APSTRACT: Applied Studies in Agribusiness and Commerce},
      address = {2014-09},
      number = {1033-2016-84259},
      series = {8},
      pages = {9},
      year = {2014},
      abstract = {This study analyzes the profitability of fruit juice  processing using data from Kudors Fruit Juice Limited at  Kasoa in Ghana. The
cost involved in fruit juice processing  (which includes the capital cost and the operating cost)  was obtained from the Company. This study
compares the  profitability of blend (i.e. fruit juice made up of  pineapple and mango blend) with that of pineapple juice  alone. The viability
of the project was determined using  the discounted measures of project worth: Benefit-Cost  Ratio (BCR), Net Present Value (NPV) and
Internal Rate of  Return (IRR). The empirical results reveal that pineapple  juice processing had a BCR of 1.03 which means that going  into
the pineapple juice processing is profitable. The  value of the NPV (GHS11,728.00) and IRR (23%) further  confirms that pineapple juice
processing is profitable  because the NPV is positive and the IRR is greater than the  discounted factor (21%). The results also showed that
it is  more profitable to invest in the blend (pineapple and mango  blend) than the pineapple juice alone as it yields a BCR of  1.36 which was
greater than the BCR of 1.03 for the  pineapple juice only. Furthermore, the value of the NPV  (GHS176,831.00) which is greater than the
pineapple juice  only, suggests that the blend is more profitable even  though the IRR for both are the same. Moreover, it is also  more likely to
recover capital investment earlier in the  processing of the blend than when one goes into pineapple  juice processing only, because the net cash
flow in year 2  (GHS 58,146.00) for the blend is more than triple that of  the pineapple juice only (GHS17,826.00).These results have  policy
implications for the development of Agribusinesses  in Ghana.},
      url = {http://ageconsearch.umn.edu/record/202877},
      doi = {https://doi.org/10.22004/ag.econ.202877},
}