Elizabeth Ann invested ($ 80,000) to start a business at the beginning of 2004 . She withdrew
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Elizabeth Ann invested \(\$ 80,000\) to start a business at the beginning of 2004 . She withdrew \$ 5,000\) at the end of each year for three years. At the end of the third year, Elizabeth sold the business for \(\$ 100,000\) cash. Her discount rate is \(10 \%\). What is the net present value of Elizabeth's business investment? What is the internal rate of return on this business?
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Managerial Accounting Information For Decisions
ISBN: 9780324222432
4th Edition
Authors: Thomas L. Albright , Robert W. Ingram, John S. Hill
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