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A COMPANY WANTS TO START A NEW PROJECT THE INITIAL COST IS $1,500,000 IF THE PROJECT WILL RETURN AN EQUAL ANNUITY AMOUNT EVERY YEAR, HOW
A COMPANY WANTS TO START A NEW PROJECT THE INITIAL COST IS $1,500,000 IF THE PROJECT WILL RETURN AN EQUAL ANNUITY AMOUNT EVERY YEAR, HOW MUCH MUST IT RETURN TO BREAK EVEN FOR 10 YEARS LET INTEREST EQUAL 1-12% SHOw YOUR COMPUTATION. A COMPANY INVESTS 100,000,000 IN A SPORTS ORGANIZATION ASSUME THE COMPANY WILL BREAKEVEN IN THIS INVESTMENT FOR THE NEXT 9 YEARS ASSUME THE COMPANY WANTS A 12% RATE OF RETURN (1-12%) FOR WHAT AMOUNT SHOULD IT BE SOLD IN THE 10TH YEAR IN ORDER FOR THE CO TO BREAKVEN FOR ITS INVESTMENT. SHOW YOUR COMPUTATION GIVEN THE FOLLOWING NPV COMPUTATIONS JOB B 78,000 50,000 28,000 J08 A JOB C PRESENT VALUE INITIAL INVESTMENT 60,000 NPV 111,000 83,000 88,000 28,000 ASSUME ONLY ONE JOB SHOULD BE CHOSEN. CHOSEN. .SHOW YOUR COMPUTATIONS WHICH ONE SHOULD BE
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