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a Test Mesanda Nelson- Microsoft Edge www.mathxl com/Student/Player Test.asportestid-1854175518centerwin BUSN 2320 FALL 2018 Merandd Nelson & 12/10/18 6:56 PM Test: Module 4 Test Time Remaining:

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a Test Mesanda Nelson- Microsoft Edge www.mathxl com/Student/Player Test.asportestid-1854175518centerwin BUSN 2320 FALL 2018 Merandd Nelson & 12/10/18 6:56 PM Test: Module 4 Test Time Remaining: 01.03 27 Submit Test This Question: 2 pt 415 of 34 (11 compnete) Irl This Test: 100 pts possabie With the economy in full recovery, Treble Piano Manufacturing is considering a plant expansion Its ivilial capial cosl (nt incudng woking capital is $750 000, expected after-tax operating cash flow is $225 000 per year for fve years and tha recovery of captal assets after fve years si7500 It this project has a requied rate of return of 15% and the ntial cost of working capital s $100 000 should the firm e pand? (Assume that the $100,000 of working capital reco eed nye Sal the end of the project life. Compute the NPV so support your dacision 0 A. No, because the NPV -$8,759 O B. Yes, because the NPV n S858 759 C. Yes, because the NPV " $8,759 () D. No, because the NP--$850.000 Click to select your answer . ch

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