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Computer Systems: We estimate it will cost $300,000 to upgrade our computer systems. It will take about three years to convert over to new computers

Computer Systems: We estimate it will cost $300,000 to upgrade our computer systems. It will take about three years to convert over to new computers and implement our proprietary technology, but after those three years, these new computers will allow us to earn an additional $70,000 per year for the next 10 years due to increased productivity. If our cost of capital is 12 percent, please use the net present value method to determine if we should undertake this project.

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