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A publisher is deciding whether or not to invest in a new printer.The printer would cost $900, and would increase the cash flows in year
A publisher is deciding whether or not to invest in a new printer.The printer would cost $900, and wouldincreasethe cash flows in year 1 by $500 and in year 3 by $800.(Assume thatthere would bezero increasein cash flows in year 2.)
If the interest rate is 12%, what is the present value of the cash flows from the investment?
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