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Park Co. is considering an investment that requires immediate payment of $20.957 and provides expected cash inflows of $6,900 annually for four years. Assume
Park Co. is considering an investment that requires immediate payment of $20.957 and provides expected cash inflows of $6,900 annually for four years. Assume Park Co. requires a 9% return on its investments. 1-a. What is the net present value of this investment? (EV of $1. EX of 51. PVA of 53, and EVA GL50) (Use appropriate factor(s) from the tables provided. Round your present value factor to 4 decimals.) 1-b. Based on NPV alone, should Park Co. Invest? Complete this question by entering your answers in the tabs below. Required 1A Required 18 What is the net present value of this investment? Cash Flow Select Chart Annual cash flow Present Value of an Annuity of 11 $ Amount 6,900 x PV Factor Present Value $ Immediate cash outflows Net present value
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