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Shields Company has gathered the following data on a proposed investment project: (Ignore income taxes.) Investment required in equipment $510,000 Annual cash inflows $90,000 Salvage
| Shields Company has gathered the following data on a proposed investment project: (Ignore income taxes.) |
| Investment required in equipment | $510,000 |
| Annual cash inflows | $90,000 |
| Salvage value | $0 |
| Life of the investment | 10 years |
| Discount rate | 7% |
| The simple rate of return on the investment is closest to: (Round your answer to the closest interest rate.) |
| 9% | |
| 5% | |
| 8% | |
| 13% |
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Cash And Financial Management Study Text
Authors: Kaplan
1st Edition
9781839960529
