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Question Help o Consider how Steinback Valey Strean Park Lodge could use capital budgeting to decide whether the $13,000,000 Stream Park Lodge expansion would be

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Question Help o Consider how Steinback Valey Strean Park Lodge could use capital budgeting to decide whether the $13,000,000 Stream Park Lodge expansion would be a good investment. Assume Steinbeck Valley's managers developed the following estimates concerning the expansion (Click the loon to view the estimates.) Read the requirements Data Table Requirement 1. Compute the average annual net cash inflow from the expansion The average annual net cash infow from the expansion is $ Requirement 2. Compute the average annual operating income from the expansion The average annual operating income from the expansion is s Oy $ Number of additional skiers per day 121 siers Average number of days per year the weather conditions allow sking Steinback Valley 145 days Useful ife of expansion in years) Average cash pent by each ser per day 236 Average variable cost of serving each skler per day Cost of experien 13.000.000 Discount rate 125 Amune that Steinback Valley as the straine depreciation method and expects the lodge expansion to have a residual value of $600.000 the end of its Print Done Enter any number in the edit fields and then continue to the next

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