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Q3 [Total: 15 marks] (A) A proposed project has the following data: Three years ago an initial fixed investment equals $100,000 and the working capital

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Q3 [Total: 15 marks] (A) A proposed project has the following data: Three years ago an initial fixed investment equals $100,000 and the working capital investment equals $40,000 are required to start up the project. $100,000 were invested for research and development two year ago. $50,000 were invested for research and development one year ago. The research is now completed, as a result of this research, annual savings will result in the coming years as shown in the following table Year 1 to 5 2 6 to 10 11 to n n+1 Cash Flow 60,000 50,000 40,000 30,00020,000 Final salvage value of $20,000 Determine the values of "n" that make the project accepted, knowing that DCFRR equals 10%

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