Question
show all formulas and work thanks Strausberg Incorporated is considering investing in a project that would require an initial investment of $270,000. The life of
show all formulas and work thanks
Strausberg Incorporated is considering investing in a project that would require an initial investment of $270,000. The life of the project would be 4 years. The annual net cash inflows from the project would be $81,000. The salvage value of the assets at the end of the project would be $27,000. The company uses a discount rate of 10%. (Ignore income taxes.) Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using the tables provided. Required: Compute the net present value of the project.
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