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Sample Test Problem 11.06 You have inherited an apple orchard and want to sell it in the next four years. An expert in apple orchard

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Sample Test Problem 11.06 You have inherited an apple orchard and want to sell it in the next four years. An expert in apple orchard valuation has estimated the after-tax cash flow you would receive if you sold at the end of each of the next four years as follows: $800,000 if you sell in one year $1,000,000 if you sell in two years: $1,300,000 f you sell in three years, and $1,400,000 if you sell in four years. Your opportunity cost of capital is 9 percent. Calculate the NPV of each alternative. (Round intermediate calculations and final answers to the nearest whole dollar, e.g. 5,275.) NPV, NPV2 NPVZ . NPVA When should you sell the orchard? You should sell the orchard after Click if you would like to Show Work for this question: Open Show Work

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