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Net Present Value: To incorporate the time value of money, complete the following table for Project B using a 3% interest rate to calculate the
Net Present Value: To incorporate the time value of money, complete the following table for Project B using a 3% interest rate to calculate the Net Present Value.
Project B | initial investment 140,000 | 20,000 | 30,000 | 40,000 | 50,000 | 60,000 |
Year | Net Cash Inflow | PV |
1 | 50,000 | |
2 | 60,000 | |
3 | 90,000 | |
4 | 60,000 | |
5 | 60,000 | |
Less Initial Investment | 200,000 | |
NPV |
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