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Cullman Transport Company is considering investing in a truck that is expected to generate cash inflows of $46,000 per year. The purchase price of the
Cullman Transport Company is considering investing in a truck that is expected to generate cash inflows of $46,000 per year. The purchase price of the truck is $222,000. The expected life of the truck is 6 years and it has a salvage value of $56,000. Cullman has a required rate of return of 10 percent. Based on this information the net present value of this investment opportunity is (Use the PV of $1 and PVA of $1 tables) (Round intermediate and final answer to the nearest whole dollar.) Multiple Choice 0 $9,953. 0 $31,611. 0 $200,342. 0 $231,953
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