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Harte Systems inc a maker of electronic surveillance equipment, is considering selling to a well-known hardware chain the rights to market its home security system.
Harte Systems inc a maker of electronic surveillance equipment, is considering selling to a well-known hardware chain the rights to market its home security system. the proposed deal calls for the hardware chain to pay Harte $34,000 and 25,000 at the end of years 1 and 2 and to make annual year-end payments of 14,000 in years 3 through 9. a final payment to Harte of $20,000 would be due at the end of year 10.
A. if Harte applies a required rate of return 11% to them, what is the present value of this series of payments?
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