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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 $3,200 for three years. The investment costs $46,200 and has an estimated $6,300 salvage value. Assume Peng requires a 5% return on its investments. Compute the net present value of this investment. Assume the company uses straight-line depreciation. (PV of $1. FV of $1. PVA of $1, and EVA of $1) (Use appropriate factor(s) from the tables provided. Negative amounts should be indicated by a minus sign.) Amount x PV Factor Present Value Cash Flow Select Chart Annual cash flow Present Value of an Annuity of 1 Residual value Present Value of 1 Present value of cash inflows Immediate cash outflows Net present value

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