Tom Higgins, a snow plowing service in Minnesota, bought a snowplow for ($ 125,000). The snowplow will
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Tom Higgins, a snow plowing service in Minnesota, bought a snowplow for \(\$ 125,000\). The snowplow will have a 6 -year useful life and no residual value. Tom expects the snowplow to generate \(\$ 30,000\) in annual cash inflows. The discount rate is \(10 \%\). Calculate the net present value of this investment.
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