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value: 2.50 points Cardinal Company is considering a project that would require a $2,810,000 investment in equipment with a useful life of five years. At
value: 2.50 points Cardinal Company is considering a project that would require a $2,810,000 investment in equipment with a useful life of five years. At the end of five years, the project would terminate and the equipment would be sold for its salvage value of $500,000. The company's discount rate is 16%. The project would provide net operating income each year as follows: Sales Variable expenses $ 2,847,000 1,121,000 1,726,000 Contribution margin Fixed expenses: Advertising, salaries, and other fixed out-of-pocket costs Depreciation $ 782,000 462.000 Total fixed expenses 1,244,000 Net operating income $ 482,000 Required: What are the project's annual net cash inflows? Annual net cash inflow
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