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A delivery service feels they could increase their profits by purchasing a new truck for $ 5 6 , 0 0 0 . This should

A delivery service feels they could increase their profits by purchasing a new truck for $56,000. This should lead to increased profits of $16,500 in the 1st year, $14,000 in the 2nd year, and $14,500 in the 3rd year. It could sell the truck at the end of 3 years for $11,000.
a. If the company's required rate of return is 7.5% compounded annually, what is the Discounted Cash Flow (DCF) of the net returns? b. Is this a worthwhile investment?

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