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please answer both for a thumbs up Following is a table for the present value of $1 at compound interest: Feliewing is a table for
please answer both for a thumbs up
Following is a table for the present value of $1 at compound interest: Feliewing is a table for the present value of an annuity of 51 at compound interest: Using the tabies provided, if an investment is mode now for $15,900 that will generate a cash inflow of $5,300 a year for the next 4 years, the net present value (rounded to the nearest dollar) of the investment, assuming an eamings rate of 10%, is b. 515,400 c. 516,501 4. 5901 Xander Inc. has prepared the following sensitivity analysis: In addition, it has assigned the following likelihoods to the three possible annual net cash flows: $500,000,70%;$600,000,20%; and $700,000,10%. Based on an expected value analysis, which of the following statements is accurate? 1. The expected value of the anzual net eash flow is $540,000, and the project sbould be accepted. b. The cxpected valoe of the annual net cash flow in $540,000, and the project should be rejected. c. The cepected value of the amanal net cauh flow is 5660,000 , and the project ahould be rejected 1. The expected value of the annual nct eash flow is $660,000, and the project sbould be acerpted Step by Step Solution
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