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Required Information [The following information applies to the questions displayed below) Peng Company is considering an investment expected to generate an average net income after

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Required Information [The following information applies to the questions displayed below) Peng Company is considering an investment expected to generate an average net income after taxes of $2,100 for three years. The investment costs $56,100 and has an estimated $8,100 salvage value. Assume Peng requires a 15% return on its investments. Compute the net present value of this investment. Assume the company uses straight-line depreciation (PV 51 V of $1. PVA of $1, and FVA of 51) (Use appropriate factor(s) from the tables provided. Negative amounts should be indicated by a minus sign.) Select Chart Amount * PV Factor - Present Value Cash Flow Annual cash flow Residual value Present Value of 1 Future Value of 1 Present Value of an Annuity of 1 Future Value of an Annuity of 1 Following information applies to the questions displayed below.) Company is considering an investment expected to generate an average n for three years. The investment costs $56,100 and has an estimated $8,10 ing requires a 15% return on its Investments. Compute the net present valued ses straight-line depreciation. (PV of $1. FV of $1. PVA of $1, and FVA of $1) (u vided. Negative amounts should be Indicated by a minus sign.) Select Chart Amount * PV Factor - Present Value flow lue Immediate cash outflows Net present value Present value of cash inflows

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