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(Ignore income taxes in this problem.) Hull Inc. is considering the acquisition of equipment that costs $200,000 and has a useful life of 6 years
(Ignore income taxes in this problem.) Hull Inc. is considering the acquisition of equipment that costs $200,000 and has a useful life of 6 years with no salvage value. The incremental net cash flows that would be generated by the equipment are: .............Incremental Net Cash Flows Year 1...$77,000 Year 2...$67,000 Year 3...$51,000 Year 4...$64,000 Year 5...$50,000 Year 6...$68,000 If the discount rate is 18%, the net present value of the investment is closest to: A. $24,418 B. $177,000 C. $224,418 D. $65,566
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