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[The following information applies to the questions displayed below.] Peng Company is considering an investment expected to generate an average net income after taxes of

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[The following information applies to the questions displayed below.] Peng Company is considering an investment expected to generate an average net income after taxes of $2,300 for three years. The investment costs $48,900 and has an estimated $11.100 salvage value. Compute the accounting rate of return for this Investment assume the company uses straight-line depreciation Accounting Rate of Return Choose Denominator Choose Numerator Accounting Rate of Return Accounting rate of retum 0 Peng Company is considering an investment expected to generate an average net income after taxes of $2,300 for three years. The investment costs $48,900 and has an estimated $11100 salvage value, Assume Peng requires a 10% return on its Investments. Compute the net present value of this investment. Assume the company uses straight line depreciation PV of $1. FV of $1. PVA of $1, and EVA of $1 (Use appropriate factor(s) from the tables provided. Negative amounts should be indicated by a minus sign. Round your present value factor to 4 decimals.) Select Chart Amount x PV Factor Cash Flow Annual cash flow Residual value Present Value Net present value

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