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An initial investment of $50,000 in Whispering's Bunks is expected to pay off greatly-but not equally-in each of the next 5 years. The company expects

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An initial investment of $50,000 in Whispering's Bunks is expected to pay off greatly-but not equally-in each of the next 5 years. The company expects a small increase in operating income in year 1 of $5,250, but then steadily lar ger improvements in profitability in years 2-5:\$10,500,\$18,750,\$21,750, and $24,375, respectively. The year prior to this investment, the compary's ARR was 9%, and its tax rate was 20% What level of ARR does this projection provide? (Round answer to 2 decimal plaoes, es. 15.25x). ARR 6 Is it likely that the company will move forward with this investment? ok and Media

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