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Required information {The following information applies to the questions displayed below) Peng Company is considering an investment expected to generate an average net income after
Required information {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 $2,600 for three years. The investiment costs $48.900 and has an estimated $10,500 salvage value Assume Peng requires a 15% return on its investments Compute the net present value of this investment Assume the company uses straight line depreciation. (PV of S1. EVO SI. PVA Q S1, and EVA of S1 (Use appropriate factors) from the tables provided. Negative amounts should be indicated by a minus sign. Round your present value factor to 4 decimals.) Amount PV Factor Cash Flow Annual cash flow Residual value Select Chart Present Value of an Annuity of 1 Present Value of 1 Present Value $ 0 0 Nel present value
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