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Beyer Company is considering the purchase of an asset for $180,00 . It is expected to produce the following net cash flows . The cash

Beyer Company is considering the purchase of an asset for $180,00 . It is expected to produce the following net cash flows . The cash flows occur evenly within each year. Assume that Beyer requires a 12% return on its investments. image text in transcribed
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Check Beyer Company is considering the purchase of an asset for $180,000. It is expected to produce the following net cash flows. The cash flows occur evenly within each year. Assume that Beyer requires a 12% return on its investments.PV of 51. EV OTSI. PVA , and FVA of $1) (Use appropriate factor(s) from the tables provided.) Year 1 $77,000 Year 2 $47,000 Net cash flows Year 3 $87,000 Year 4 $141,000 Year 5 $48,000 T otal $400,000 a. Compute the net present value of this investment. b. Should Beyer accept the investment? Complete this question by entering your answers in the tabs below. Required A Required B Compute the net present value of this investment. (Round your answers to the nearest whole dollar.) Year Present Value of 1 at 12% 0.8929 Present Value of Net Cash Flows 1 Net Cash Flows $ 77,000 47,000 87.000 141,000 48,000 47,000 3 000L Net cash flows Year $77,000 Year 2 $47.000 Year 3 $87,000 Year 4 $141,000 Year 5 $48,000 Total $400,000 a. Compute the net present value of this investment. b. Should Beyer accept the investment? Complete this question by entering your answers in the tabs below. Required A Required B Compute the net present value of this investment. (Round your answers to the nearest whole dollar.) Net Cash Flows Present Value of 1 at 12% 0.8929 Present Value of Net Cash Flows 77,000 47,000 87,000 141,000 48,000 400,000 Totals $ Amount invested Net present value

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