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Net Present Yilut Nethod The feilowing doto are acturnulWed by Geddes Company in eveluating the purthase of 1129,500 of equipment, having a four-year useeul afe:
Net Present Yilut Nethod The feilowing doto are acturnulWed by Geddes Company in eveluating the purthase of 1129,500 of equipment, having a four-year useeul afe: Dresent Yalue of 12 at Compeund Interest. A. Assuming that the desired rate of refurn is 15%, desermine the net present value for the proposal. Vse the table of the present valve of st presented above. If required, round to the nearest dolia. fresent value of net rash flow a. Assuming that the desired rate of return is 1546 , determine the net present value for the proposa. Use the tasle of the present value of st ereierent abovi. If required. reund to the newest dollar: b. Would management be kkely to look with favar on the proposar? , because the net present value indicates that the return en the proposal is than the minimun desired rate of return of 25W
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