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Use the following table to answer this question: Present value of an annuity of 1 Period 8% 9% 10% 1 .926 .917 .909 2 1.783
Use the following table to answer this question:
Present value of an annuity of 1
Period 8% 9% 10%
1 .926 .917 .909
2 1.783 1.759 1.736
3 2.577 2.531 2.487
A company has a minimum required rate of return of 9%. It is considering investing in a project that cost $420,000 and is expected to generate cash inflows of $168,000 at the end of each year for 3 years. Calculate the net present value of the project.
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