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of 2 Required Information Use the following information for the Quick Study below. (The following information applies to the questions displayed below.) Following is Information

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of 2 Required Information Use the following information for the Quick Study below. (The following information applies to the questions displayed below.) Following is Information on an investment considered by Hudson Co. The investment has zero salvage value. The company requires a 9% return from its investments. Investment A1 Initial investment $(340,000) Expected net cash flows in year: 105,000 2 130,000 105,000 1 WN QS 25-12 Net present value, with salvage value LO P3 Assume that instead of a zero salvage value, as shown above, the investment has a salvage value of $26,000 Compute the investment's net present value. (PV of $1. FV of $1. PVA of $1, and FVA of $1 (Use appropriate factor(s) from the tables provided. Round all present value factors to 4 decimal places.) Cash Flow Present Value of 1 Present Value at 9% Year 1 Year 2 Year 3 Totals Amount invested Net present value $ 0 $ 0

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