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LOTIUN HAD MULTIPLE PARIS You work for a manufacturing firm and have been tasked with analyzing a potential investment in a new business line. Alter

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LOTIUN HAD MULTIPLE PARIS You work for a manufacturing firm and have been tasked with analyzing a potential investment in a new business line. Alter careful analysis, your team has modeled the anticipated future cash flows associated with this potential new business line over its anticipated 16-year life. They are outlined below. (Please scroll down to view the entire table) Part A (5 points): If the appropriate interest rate to use when evaluating potential projects for your firm is 10%, what is the prosent value of those cash flows? The present value of these cash flows is: $0 PLEASE ROUND YOUR ANSWER TO THE NEAREST DOLLAR TE Part B (5 points): If the cost of investing in this new business line is $120,000, payable immediately, should the firm make the investment? O A. YES, the firm should make the investment OB. NO, the firm should not make the investment. CCESS Cash Flow from New Business 0 $ 1 $ 10,000 2 $ 10,000 3 $ 10,000 4 $ 10,000 5 5 20,000 $ 20,000 2 $ 20,000 8 $ 20,000 9 $ 15,000 10 $ 15,000 11 $ 15,000 12 $ 15,000 13 $ 10,000 14 s 10,000 15 $ 10,000 16 $ 10,000 end of table

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