Question
The following data pertain to an investment that is being considered by the management of River Electrical Supply: Discount Rate 10% Project Life 10 years
The following data pertain to an investment that is being considered by the management of River Electrical Supply:
Discount Rate 10%
Project Life 10 years
Cost of the Investment $1,200,000
Annual Cash Inflows $240,000
Estimated Salvage Value 0
Question:
What is the net present value of this investment? (Show your work)
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Corporate Financial Accounting
Authors: Carl S. Warren, James M. Reeve
9th Edition
0324381921, 978-0324381924
