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Assume that the firm invests $73,000 today to get $14,000 at Year 1 (i.e. one year from now), $22,000 at Year 2, $15,000 at Year

Assume that the firm invests $73,000 today to get $14,000 at Year 1 (i.e. one year from now), $22,000 at Year 2, $15,000 at Year 3, $30,000 at Year 4, $17,500 at Year 5, $16,500 at Year 6. Whats the Net Present Value of this investment? Assume the Interest (discount) rate of 10.70%.

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$7,235.63

$10,236.24

$9,316.35

$8,126.58

Assume the firm invests $120,000 today to get $20,000 at Year 1, $30,000 at Year 2, $35,000 at Year 3, $25,000 at Year 4, $40,000 at Year 5, and $16,500 at Year 6. Assuming the Interest (discount) rate of 9.1%, what is the (Non-Discounted) Payback period for this project?

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5.42 years

5.31 years

4.25 years

4.41 years

Same facts as above: what is the Discounted Payback Period for this project?

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4.25 years

5.61 years

5.36 years

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