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Windhoek Mines, Limited, of Namibia, is contemplating the purchose of equipment to exploit o minerol deposit on lond to which the company has mineral rights.
Windhoek Mines, Limited, of Namibia, is contemplating the purchose of equipment to exploit o minerol deposit on lond to which the company has mineral rights. An engineering and cost analysis has been made, and it is expected that the following cosh flows woul be ossociated with opening and operating a mine in the area: "Receipts from sales of ore, less out-of-pocket costs for salaries, utilities, insurance, ond so forth. The mineral deposit would be exhausted after four years of mining. At that point, the working copital would be releosed for reinvestment elsewhere. The compony's required rate of return is 18%. Click here to view and to determine the oppropriate discount foctor(s) using tobles. Required: 8. What is the net present volue of the proposed mining project? b. Should the project be occepted? Complete this question by entering your answers in the tabs below. What is the net present value of the proposed mining project? Note: Enter negative amount with a minus sign. Round your final answer to the nearest whole dollar amobet
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