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a. Assuming that the desired rate of return is 10%, determine the net present value for the proposal. Use the table of the present value

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a. Assuming that the desired rate of return is 10%, determine the net present value for the proposal. Use the table of the present value of $1 presented above. If required, round to the nearest dollar. - Assuming that the desired rate of return is 10%, determine the net present value for the proposal. Use the table of the present value of $1 presented above. if equired, round to the nearest dollar. Would management be likely to look with favor on the proposal? , because the net present value indicates that the return on the proposal is than the minimum desired rate of return of 10%. Futback Check Mr Wook a. Multiply the present value of $1 factor for each year (Exhibit 2) by that year's net cash flow. Subtract the amount to be imvested trom the total present value of the net cash flow. Will management be more favorable to a positive net present value or a negative net present value? b. Consider the time value of money. tearning Objective 3

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