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9. (30 points) On 01/01/2021 (time zero), a large energy company/project reported incomes as shown in the table below. The salvage value would be 70,307
9. (30 points) On 01/01/2021 (time zero), a large energy company/project reported incomes as shown in the table below. The salvage value would be 70,307 million dollars at the end of 5th year. What is a reasonable breakeven acquisition cost at time zero if other investment alternatives yield a return of 11% per year? What is the value of all incomes, including salvage, at the end of 5th year? Year 0 1 2 3 4 5 Incomes, -4,454 1,840 4,624 8,115 -112 $ millions Enter Full Screen
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