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Thank you for helping me out with with problem! Thunder Corporation, an amusement park, is considering a capital investment in a new exhibit. The exhibit
Thank you for helping me out with with problem!
Thunder Corporation, an amusement park, is considering a capital investment in a new exhibit. The exhibit would cost $128, 967 and have an estimated useful life of 6 years. It will be sold for $64, 300 at that time. (Amusement parks need to rotate exhibits to keep people interested.) It is expected to increase net annual cash flows by $20, 300. The company's borrowing rate is 8%. Its cost of capital is 10%. Click here to view PV table. Calculate the net present value of this project to the company and determine whether the project is acceptable
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