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Underwood manufactoring is evaluating a proposed capital budgeting project that will require an initial investment of $184,000. The project is expected to generate the following

Underwood manufactoring is evaluating a proposed capital budgeting project that will require an initial investment of $184,000. The project is expected to generate the following net cash flows: Year 1-$47,200, Year 2-$52,100, Year 3-$49,800, Year 4-$49,900.

A: Assume the desired rate of return on a project of this type is 10%. What is the net presnt value of this project? $15,845.40, $23,914.50, $4,725.40, -$26,535.21

B: Suppose Underwood Manufactoring has enough capital to fund the project, and the project is not competing for funding with other projects. Should Underwood Manufactoring accept or reject this project?

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