Question
A factory costs $260,000. You forecast that it will produce cash inflows of $70,000 in year 1, $130,000 in year 2, and $200,000 in year
A factory costs $260,000. You forecast that it will produce cash inflows of $70,000 in year 1, $130,000 in year 2, and $200,000 in year 3. The discount rate is 10%.
What is the value of the factory?
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Get StartedRecommended Textbook for
Bond Markets Analysis and Strategies
Authors: Frank J.Fabozzi
9th edition
133796779, 978-0133796773
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