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An investment opportunity costing 100,000 is expected to yield a net cash flow of 25,000 annually over the next seven years. Calculate the NPV of
- An investment opportunity costing 100,000 is expected to yield a net cash flow of 25,000 annually over the next seven years.
- Calculate the NPV of the investment at a discount rate of 10%?
- Would you accept or reject this project and explain why?
- Calculate the Profitability index on this investment opportunity?
- If You had to choose between 2 projects, this one and another one that had a profitability index of 1.85, which would you choose and why?
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Horngren S Financial And Managerial Accounting The Managerial Chapters RENTAL EDITION
Authors: Miller-Nobles
1st Edition
0136503748, 978-0136503743
