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Consider how Stenback Valley River Park Lodge could use capital budgeting to decide whether the $13, 500,000 River Park Lodge expansion would be a good

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Consider how Stenback Valley River Park Lodge could use capital budgeting to decide whether the $13, 500,000 River Park Lodge expansion would be a good investment. Assume Stenback Valley's managers developed the following estimates concerning the expansion: Assume that Stenback Valley uses the straight-line depreciation method and expects the lodge expansion to have no residual value at the end of its 10-year life. The project's average annual net cash inflow per year is expected to be $2, 948, 160. What is the project's NPV (round to nearest dollar)? Is the investment attractive? Why or why not? Calculate the net present value of the expansion. (Enter the factor to three decimal places, X.XXX. Round your calculations to the nearest whole dollar.) When the residual value is zero, the expansion is project because its NPV is

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