Question
Need help solving this problem. Product A purchase price $236000/4 (time)= 59,000 Depreciation 74,000(1-.30)= 51800 (after tax income) 59,000+51,800=110,800 (cash flow). NPV= 110,800/(1+0.09)^2 and all
Need help solving this problem. Product A purchase price $236000/4 (time)= 59,000 Depreciation
74,000(1-.30)= 51800 (after tax income)
59,000+51,800=110,800 (cash flow). NPV= 110,800/(1+0.09)^2 and all the up to the 4th year. Cannot get the NPV to come out. Have not worked on the 2nd part yet.
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Financial Modeling
Authors: Simon Benninga
4th Edition
0262027283, 9780262027281
