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2 Price Mart is considering outsourcing its billing operations. A consultant estimates that outsourcing should result in cash savings of $10,600 the first year. $16,600
2 Price Mart is considering outsourcing its billing operations. A consultant estimates that outsourcing should result in cash savings of $10,600 the first year. $16,600 for the next two years, and $19,600 for the next two years. Interest is at 10%. Assume cash flows occur at the end of the year. (FV of $1. ev of $1. EVA of $1. PVA Of 51. EVAD of S1 and PVAD of $1 (Use appropriate factor(s) from the tables provided.) Required: Calculate the total present value of the cash flows. (Do not round intermediate calculations. Round your final answer to nearest whole dollar) 26 Total present value of the cash flows
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