A. Investment Opportunity: $1,325,000 return after 4 years with an initial invest of $495,000. Discount Rate of 16%

B. New Machine for $353,000. It's useful life is 4 years with salvage value $38,000. It makes $16,000 monthly. Discount rate 11.7%

C. Initial Investment $510,000. Gives returns of $167,000 yearly for 8 years. Discount rate = 12%.

	Discount Rate	# of periods	Income	Future Val.	Initial Invest	Net Present Val.
A
b
c

Compute NPV with equivalent useful lives for each

Option	1	2	3
NPV with EUL