Question
NPV: No Salvage Value or Taxes Kim Johnson purchased an asset for $80,000. Annual operating cash inflows are expected to be $30,000 each year for
NPV: No Salvage Value or Taxes
Kim Johnson purchased an asset for $80,000. Annual operating cash inflows are expected to be $30,000 each year for four years. At the end of the life of the asset, Kim will not be able to sell the asset because it will have no salvage value.
What is the net present value if the cost of capital is 12 percent (ignore income taxes)?
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Trends In Managerial And Financial Accounting Volume 1
Authors: Cees Van Dam
1978 Edition
9020706934, 978-9020706932
