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Required information (The following information applies to the questions displayed below.) 6% Following is information on an investment considered by Hudson Co. The investment has
Required information (The following information applies to the questions displayed below.) 6% Following is information on an investment considered by Hudson Co. The investment has zero salvage value. The company requires return from its investments. Initial investment Expected net cash flows in year: Investment A1 S(350,000) 150,000 138,000 83,000 3 Assume that instead of a zero salvage value, as shown above, the investment has a salvage value of $32,000. Compute the investment's net present value. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided. Round all present value factors to 4 decimal places.) Cash Flow Present Value of 1 at 6% Present Value Year 1 Year 2 Year 3 Totals Amount invested Net present value $ 0 S 0 S 0
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