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Gomez is considering a $220,000 investment with the following net cash flows. Gomez requires a 12% return on its investments. (PV of $1. FV
Gomez is considering a $220,000 investment with the following net cash flows. Gomez requires a 12% return on its investments. (PV of $1. FV of $1. PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Net cash flows Year 1 $69,000 Year 2 $52,000 Year 3 $86,000 Year 4 $175,000 Year 5 $59,000 (a) Compute the net present value of this investment. (b) Should Gomez accept the investment? Complete this question by entering your answers in the tabs below. Required A Required B Compute the net present value of this investment. (Round your answers to the nearest whole dollar.) Net Cash Year Flows Year 1 Year 2 Year 31 Year 4 Present Value of 1 at 12% Present Value of Net Cash Flows Totals Year 5 Initial investment Net present value Kepured & Required B >
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