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Question 19 (9 points) You are considering investing in a venture to build a new app for Apple handheld devices. You are going to have
Question 19 (9 points) You are considering investing in a venture to build a new "app" for Apple handheld devices. You are going to have to buy equipment which you believe will cost roughly $2,000. You expect the app will generate the following cash flows. If you expect an appropriate discount rate to be 10%, should you undertake this venture? Purch. Yr Yr Yr Yr Yr Equip. 1 2 3 4 5 | 1 1 | 1 (2,000) 100 2,000 (2,000) 0 2,000 This is This is negative negative
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