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Alfarsi Industries uses the net present value method to make investment decisions and requires a 15% annual return on all inves is considering two

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Alfarsi Industries uses the net present value method to make investment decisions and requires a 15% annual return on all inves is considering two different investments. Each require an initial investment of $15,600 and will produce cash flows as follows: Investment End of Year 1 2 3 A $ 8,600 $ 0 8,600 8,600 25,800 The present value factors of $1 each year at 15% are 1 0.8696 2 0.7561 3 0.6575 The present value of an annuity of $1 for 3 years at 15% is 2.2832 The net present value of Investment B is Multiple Choice C $1,364 CHE GES Next>

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