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Sunland Inc. recently invested in a project with a 3-year life span. The net present value was $8200 and annual cash inflows were $25000 for
Sunland Inc. recently invested in a project with a 3-year life span. The net present value was $8200 and annual cash inflows were $25000 for year 1; $27000 for year 2; and $29000 for year 3. The initial investment for the project, assuming a 15% required rate of return, was Present Value PV of an Annuity of 1 at 15% of 1 at 15% Year 1 0.870 0.870 2 0.756 1.626 3 0.658 2.283 O $62270. O $53044. O $50966. O $45098
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