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(Ignore income taxes in this problem.) The following data pertain to an investment: Cost of the investment $18,955 Life of the project 5 years Annual

(Ignore income taxes in this problem.) The following data pertain to an investment: Cost of the investment $18,955 Life of the project 5 years Annual cost savings $5,000 Estimated salvage value $1,000 Discount rate 10% The net present value of the proposed investment is A. $621. B. $3,355. C. $0. D. $(3,430). **The answer is NOT D, $(3,430)

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