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Assume that a company is considering a capital investment project with a four-year time horizon and the following cash flows: Click here to view Exhibit
Assume that a company is considering a capital investment project with a four-year time horizon and the following cash flows: Click here to view Exhibit 7B-1 and Exhibit 7B-2, to determine the appropriate discount factor(s) using the tables provided. The working capital will be released at the end of the project and the company's required rate of return is 16%. The net present is closest to: Multiple Choice $50,980. $41,080 $(36,780) $66,980. EXHIBIT 7B-1 Present Value of $1;1(1+r)n IBIT 7B-2 Present Value of an Annuity of $1 in Arrears; 1r[11(1+r)n ]
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