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Question 6 Net present value is the discounted present value of all expected cash flows less the initial investment. The NPV for a project with

Question 6

Net present value is the discounted present value of all expected cash flows less the initial investment. The NPV for a project with a $28,000 initial investment and expected cash flows (already taking into account depreciation effect) of $12,000 for 3 years with a 11% discount rate is.

57,325

1,325

29,325

8,000

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