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Bruno's Lunch Counter is expanding and expects operating cash flows of $24,900 a year for 4 years as a result. This expansion requires $55,000 in
Bruno's Lunch Counter is expanding and expects operating cash flows of $24,900 a year for 4 years as a result. This expansion requires $55,000 in new fixed assets. These assets will be worthless at the end of the project. In addition, the project requires $3,200 of net working capital throughout the life of the project. What is the net present value of this expansion project at a required rate of return of 10 percent? Multiple Choice $22915 $29,319 $27,775 $25,924 $23,930
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