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Why is year 3 wrong? Initial investment Expected net cash flows in year: $ (370,000) 145,000 106,000 121,000 QS 25-12 Net present value, with salvage
Why is year 3 wrong?
Initial investment Expected net cash flows in year: $ (370,000) 145,000 106,000 121,000 QS 25-12 Net present value, with salvage value LO P3 Assume that instead of a zero salvage value, as shown above, the investment has a salvage value of $29,000. Compute the nvestment's net present value. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided ound all present value factors to 4 decimal places.) Answer is not complete Presen Value of 1 Cash Present Value Flow 0.9174 s Year 1 Year 2 Year 3 145,000 106,000 . 0.8417 92,0000.7722 133,023 9,220Step by Step Solution
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