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A project has a cost of $100,000. It has a life of 4 years. The project cost will be depreciated straight line towards $40,000 salvage
A project has a cost of $100,000. It has a life of 4 years. The project cost will be depreciated straight line towards $40,000 salvage value in the fourth year. Sales are expected at $200,000 every year with 40% COGS. The appropriate discount rate is 20% and the corporate tax rate is 10%. What is the project net present value?
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