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8.1 Investment Criteria This problem will give you some practice calculating NPVs and paybacks. A proposed overseas expansion has the following cash flows: Year 0

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8.1 Investment Criteria This problem will give you some practice calculating NPVs and paybacks. A proposed overseas expansion has the following cash flows: Year 0 1 2 3 4 Cash Flow -$100 50 40 40 15 Calculate the payback and NPV at a required return of 15 percent. (See Problem 21.)

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