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Water Company accumulates the following data concerning a proposed capital investment: cash cost $195,200, net annual cash flows $37,000, present value factor of cash inflows
Water Company accumulates the following data concerning a proposed capital investment: cash cost $195,200, net annual cash flows $37,000, present value factor of cash inflows for 10 years 5.43 (rounded).(If the net present value is negative, use either a negative sign preceding the number eg -45)
Determine the net present value, and indicate whether the investment should be made.
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