Question
What is the PW (at i = 5%) of SuperTool's new test equipment? The development cost is $1.2M. Net revenues will begin at $300,000
What is the PW (at i = 5%) of SuperTool's new test equipment? The development cost is $1.2M. Net revenues will begin at $300,000 for the first 2 years and then decline at $50,000 per year. SuperTool will terminate sales when net revenues decline to zero.
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