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Project Epsilon requires an initial cash outlay of $30000 and Is expected to produce net cash flows Of $1000. $i 1000, and Si 2000 In

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Project Epsilon requires an initial cash outlay of $30000 and Is expected to produce net cash flows Of $1000. $i 1000, and Si 2000 In years one. two. and three, respectively. If the required rate of return on the project a 7%. what is its net present value? Round your answer to the nearest dollar. (3,062) (1.251) 4,792 9,583 Project Target will cost the Dart Corporation $250000. It is expected to produce net cash flows of $42000 a year for 10 years. The required return on the project is 9%. What h its net present value, to the nearest doter? 85,000 19,542 67,990 99,429 A project is expected to produce equal annual cash flows of $16000 a year for six years after the initial investment. If the required rate of return is 6%, at what maximum investment level will the project add value to the firm? 78,677 90,S66 101,760 90,334 Which of the following statements Is necessarily true if the NPV of a project is determined to be negative? The cost of capital used to calculate the NPV is less than the project's internal rate of return The cost of capital used to calculate the NPV is greater than the project's internal rate of return The cost of capital used to calculate the NPV h equal to the project's internal rate of return The discount rate used to calculate the NPV was too high Another name for the internal rate of return is the yield-to-maturity cost of capital benefit-cost ratio capital recovery ratio A project requires an initial cash outflow of $55000. The investment is expected to produce net cash inflow $11000 each year for seven years. The internal rate of return on this investment to the nearest tenth of a percent Is

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