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Assume the following information for a capital budgeting proposal with a five-year time horizon: $590,000 Initial investment: Cost of equipment (zero salvage value) Annual revenues

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Assume the following information for a capital budgeting proposal with a five-year time horizon: $590,000 Initial investment: Cost of equipment (zero salvage value) Annual revenues and costs: Sales revenues Variable expenses Depreciation expense Fixed out-of-pocket costs $300,000 $ 130,000 $ 50,000 $ 40,000 Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using the tables provided. If the company's discount rate is 12%, then the net present value for this investment is closest to: Multiple Choice $(121,350). $(201,600). $301,600. $(301,600)

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