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The owners of a chain of fast - food restaurants spend $ 2 7 $ 2 7 million installing donut makers in all their restaurants.

The owners of a chain of fast-food restaurants spend
$ 27$27
million installing donut makers in all their restaurants. This is expected to increase cash flows by
$ 11$11
million per year for the next five years. If the discount rate is
5.35.3%,
were the owners correct in making the decision to install donut makers?

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