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The owners of Blossom de Trois-Rivires hockey club are considering a deal with an older, established club whereby they can acquire the services of Pierre
The owners of Blossom de Trois-Rivires hockey club are considering a deal with an older, established club whereby they can acquire the services of Pierre Pharoah, a very high scorer and great gate attraction, in exchange for Kenneth Garcia (currently paid $17,550 annually). The established club would also receive $585,000 cash from Blossom. The owners' accountants have assembled the following data: Other information: Click here to view the factor table. Based on your analysis of the data, calculate the net present value of Pharoah's services. (For calculation purposes, use 5 decimal places as displayed in the factor table provided, e.g. 1.25124. If the net present value is negative, use either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Net present value $ Recommend whether or not the club should acquire the services of Pierre Pharoah. The hockey club acquire the services of Pharoah. The owners of Blossom de Trois-Rivires hockey club are considering a deal with an older, established club whereby they can acquire the services of Pierre Pharoah, a very high scorer and great gate attraction, in exchange for Kenneth Garcia (currently paid $17,550 annually). The established club would also receive $585,000 cash from Blossom. The owners' accountants have assembled the following data: Other information: Click here to view the factor table. Based on your analysis of the data, calculate the net present value of Pharoah's services. (For calculation purposes, use 5 decimal places as displayed in the factor table provided, e.g. 1.25124. If the net present value is negative, use either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Net present value $ Recommend whether or not the club should acquire the services of Pierre Pharoah. The hockey club acquire the services of Pharoah
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