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I don't understand why these are incorrect. Can someone please assist? Firm X has the opportunity to Invest $254,000 in a new venture. The projected
I don't understand why these are incorrect. Can someone please assist?
Firm X has the opportunity to Invest $254,000 in a new venture. The projected cash flows from the venture are as follows Use Appendix A and Appendx B. Firm X uses an 8 percent discount rate, and lts marginal tax rate over the life of the venture will be 20 percent. Required: a1. Complete the below table to calculate NPV. Assume that the revenues are taxable Income, and the expenses are deductible. a. Should firm X make the Investment? b1. Complete the below table to calculate NPV. Assume that the revenues are taxable income, but the expenses are nondeductible. b2. Should firm X make the investment? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Complete the below table to calculate NPV. Assume that the revenues are taxable income, and the expenses are deductible. Note: Cash outflows and negative amount should be indicated by a minus sign. Round discount factor(s) to 3 decimal places, all other intermediate calculations and final answers to the nearest whole dollar amountStep by Step Solution
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