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Problem 12-18 Net Present Value Analysis [LO12-2] Modified Oakmont Company has an opportunity to manufacture and sell a new product for a fouryear period. The

image text in transcribed Problem 12-18 Net Present Value Analysis [LO12-2] Modified Oakmont Company has an opportunity to manufacture and sell a new product for a fouryear period. The company's discount rate is \15. After careful study, Oakmont estimated the following costs and revenues for the new product: When the project concludes in four years the working capital will be released for investment elsewhere within the company. Click here to view Exhibit 12B-1 and to determine the appropriate discount factor(s) using tables. Required: Calculate the net present value of this investment opportunity. (Any cash outflows should be indicated by a minus sign. Use the appropriate table to determine the discount factor(s). When you enter a factor, use a whole number followed by 3 decimal places, for example: 0.123 .)

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