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You are considering an investment that costs $2,800. It is expected to have a useful life of 3 years. You are confident about the revenues
You are considering an investment that costs $2,800. It is expected to have a useful life of 3 years. You are confident about the revenues during the first two years, but you are unsure about the revenue in year 3. if you hope to make at least a 8% rate of return, what should be the minimum revenue in year 3? The cash flow for year 0 through 3 is given below: ($) -2,800 1,100 1,200 X where X is the unknown revenue in year 3."
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