A project that will cost $120,000 is estimated to gen erate cash flows of $25,000 per year

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A project that will cost $120,000 is estimated to gen¬ erate cash flows of $25,000 per year for eight years. What is the net present value of the project, as¬ suming an 11% required rate of return? (Use the present value tables in Appendix A.)

A. ($38,214) C. $55,180 B. $8,653 D. $75,000 AppendixLO1

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Financial Accounting

ISBN: 9780324188035

9th Edition

Authors: Dr Carl S. Warren, Dr James M. Reeve, Philip E. Fess

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