Question
(Ignore income taxes in this problem.) Chow Company has gathered the following data on a proposed investment project: Investment Required In Equipment $142,500 Annual Cash
(Ignore income taxes in this problem.) Chow Company has gathered the following data on a proposed investment project:
Investment Required In Equipment $142,500
Annual Cash Inflows $30000
Salvage Value $0
Life of the Investment 8 years
Required Rate of Return 10%
Click here to viewExhibit 8B-2to determine the appropriate discount factor(s) using the table.
The net present value on this investment is closest to:
$30,000$76,024$58,800$17,550
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Forensic And Investigative Accounting
Authors: G. Stevenson Smith D. Larry Crumbley, Edmund D. Fenton
10th Edition
0808056301, 9780808056300
