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Calculate 1. payback period, 2. Discounted Payback Period and 3. NPV for: You are building a new concession stand at your youth baseball park. The
Calculate 1. payback period, 2. Discounted Payback Period and 3. NPV for: You are building a new concession stand at your youth baseball park. The construction will cost $50,000 and demolishing the old stand will cost $10,000. Your concession sales have been steady at $5k/year but you believe with the ability to make hot food, your sales will increase to$10k/year. Discount rate=7%. Calculate over 10 years.
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