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5 pts A company projects an increase in net income of $60,000 each year for the next five years if it invests $600.000 in new

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5 pts A company projects an increase in net income of $60,000 each year for the next five years if it invests $600.000 in new equipment. The equipment has a five-year life and an estimated salvage value of $200.000. What is the annual rate of return on this investment? 10% 15% 25% 20% the the following table, Period 1 2 3 Presentatue of an Annuity 1 8X 10% 926 917 909 1.783 1.759 1.736 2.577 2531 2.487 A company has a minimum required rate of return of 8%. It is considering investing in a project that costs $443.000 and is expected to generate cash inflows of $175,000 each year for three years. The approximate internal rate of return on this projec is 89 9% 1096 Use the following table Period 1 2 3 Prescot Vaunuoti BX 926 909 1.783 1.759 1.736 2577 2531 2487 A company has a minimum required rate of return of 9%. It is considering investing in a project which costs 5560.000 and is expected to generate cash inflows of $224,000 at the end of each year for three years. The net prevent value of this project is $6.944 $566,944 $112.000 $56,698

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