The owners of a chain of fast-food restaurants spend $25 million installing donut makers in all their restaurants. This is expected to increase cash flows by $11 million per year for the next five years. If the discount rate is 5.3%, were the owners correct in making the decision to install donut makers? No, as it has a net present value (NPV) of -$4.45 million. No, as it has a net present value (NPV) of -$2.22 million. Yes, as it has a net present value (NPV) of $13.34 million. Yes, as it has a net present value (NPV) of $22.23 million. Yes, as it has a net present value (NPV) of $31.00 million.

The owners of a chain of fast-food restaurants spend $25 million installing donut makers in all their restaurants. This is expected to increase cash flows by $11 million per year for the next five years. If the discount rate is 5.3%, were the owners correct in making the decision to install donut makers? No, as it has a net present value (NPV) of $4.45 million. No, as it has a net present value (NPV) of $2.22 million. Yes, as it hs a net present value (NPV) of \$13.34 million. Yes, as it has a net present value (NPV) of $22.23 million. Yes, as it has a net present value (NPV) of $31.00 million