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4 of 9 A delivery service feels they could increase their profits by purchasing a new truck for $50,500. This should lead to increased profits

4 of 9 A delivery service feels they could increase their profits by purchasing a new truck for $50,500. This should lead to increased profits of $18,500 in the 1st year, $13,500 in the 2nd year, and $8,000 in the 3rd year. It could sell the truck at the end of 3 years for $10,500. a. If the company's required rate of return is 8% compounded annually, what is the Discounted Cash Flow (DCF) of the net returns? Round to the nearest cent b. Is this a worthwhile investment? O a. Yes b. No

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