It has been estimated that the new product just presented by your Research and Development (R&D) department

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It has been estimated that the new product just presented by your Research and Development (R&D) department will bring in net cash flows of $80,000 per year for four years. Marketing will begin immediately to sell this product.

If these expectations are correct and your firm's discount rate is 12 percent, what is the approximate present value of this new product?

a. $242,988

b. $320,000

c. $382,320

d. $750,800

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Corporate Finance Demystified By T Adair

ISBN: B003R9TYRG

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Authors: T Adair

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Question Posted: May 31, 2024 10:09 AM

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It has been estimated that the new product just presented by your Research and Development (R&D) department

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Corporate Finance Demystified By T Adair

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