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annual net income and cash flows are expected to be $ 4 2 , 0 0 0 and $ 1 3 0 , 0 0
annual net income and cash flows are expected to be $ and $ respectively. Sarasota has a cost of capital rate, which is the minimum acceptable rate of return on the investment. Click here to view PV tables. a Compute the annual rate of return. Round answer to decimal place, es Annual rate of return Compute the cash payback period on the proposed capital expenditure. Round answer to decimal ploces, eg Cash payback period vears b Using the discounted cash flow technique, compute the net present value. Use the above table.Round factor values to decimal places, es and final answer to declmal places, e Net present value $
annual net income and cash flows are expected to be $ and $ respectively. Sarasota has a cost of capital rate, which is the minimum acceptable rate of return on the investment.
Click here to view PV tables.
a
Compute the annual rate of return. Round answer to decimal place, es
Annual rate of return
Compute the cash payback period on the proposed capital expenditure. Round answer to decimal ploces, eg
Cash payback period vears
b
Using the discounted cash flow technique, compute the net present value. Use the above table.Round factor values to decimal places, es and final answer to declmal places, e
Net present value $
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