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Consider the plan for a new exhibit and convention center. The costs are given as follows: Initial costs of $40 million with an expansion costing
Consider the plan for a new exhibit and convention center. The costs are given as follows: Initial costs of $40 million with an expansion costing $8 million 10 years from now. Annual operating cost is $250,000 per year. Net revenue expectation is as follows: $190,000 the first year increasing by $20,000 per year for 4 additional years and then leveling off until year 10; $350,000 in year 11 and thereafter. Find the PW for this project.(MARR is 6%)
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