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XYZ Company is looking at a project requiring a $ 170,000 initial investment and is expected to provide operating cash flows of $ 52,000 year
XYZ Company is looking at a project requiring a $ 170,000 initial investment and is expected to provide operating cash flows of $ 52,000 year one, $ 78,000 year two, and $ 100,000 in year three. The companys cost of capital is 10%. Calculate the companys pay back for this project and its NPV and IRR. Explain why the company should accept or reject this investment
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