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Merrill Corp has the following information available about a potential capial investment: Initial Investment: $1,700,000 Annual Net Income: $190,000 Expected Life: 8 years Salvage Value:
Merrill Corp has the following information available about a potential capial investment: Initial Investment: $1,700,000 Annual Net Income: $190,000 Expected Life: 8 years Salvage Value: $250,000 Cost of Capital: 10%
1. Calculate the projects net present value.
2. Calculate the net present value using a 15% discount rate
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