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A factory costs $350,000. You forecast that it will produce cash inflows of $75,000 in year 1, $135,000 in year 2, and $210,000 in year
A factory costs $350,000. You forecast that it will produce cash inflows of $75,000 in year 1, $135,000 in year 2, and $210,000 in year 3. The discount rate is 11%.
a) Calculate the Present Value of cash inflows. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
b.) Is the factory a good investment? Yes or No?
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