Question
A new computer system will require an initial outlay of $15,000, but will increase the firms' cash each of the next 6 years. a. Calculate
A new computer system will require an initial outlay of $15,000, but will increase the firms' cash each of the next 6 years.
a. Calculate the NPV and decide if the system is worth installing if the required rate of return is 8%. Round 2 decimals
Net present value
Worth installing
b. Calculate the NPV and decide if the system is worth installing if the required rate of return is 13%. Round 2 decimals
Net present value
Worth installing
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CFIN
Authors: Scott Besley, Eugene Brigham
5th edition
1305661656, 9781305888036 , 978-1305666870
