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5. The BEST Bakery is considering purchasing a new oven. The oven will cost P1 500, and the owner anticipates that the oven will increase

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5. The BEST Bakery is considering purchasing a new oven. The oven will cost P1 500, and the owner anticipates that the oven will increase the bakery's future net cash inflows by P800 per year for the next five years. What is the anticipated NPV of this capital acquisition, if the bakery's discount rate is 10%? (4 marks)

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