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Apache Junction Company is evaluating a capital expenditure proposal that requires an initial investment of $9,350, has predicted cash inflows of $2,000 per year for

Apache Junction Company is evaluating a capital expenditure proposal that requires an initial investment of $9,350, has predicted cash inflows of $2,000 per year for 15 years, and has no salvage value.

  1. Using a discount rate of 14%, determine the net present value of the investment proposal.
  2. Determine the proposal's internal rate of return.
  3. What discount rate would produce a net present value of zero?

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