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Your Firm is considering the purchase of a new computer system. The necessary information to make the decision is provided below. What is the NVP
Your Firm is considering the purchase of a new computer system. The necessary information to make the decision is provided below. What is the NVP and should the firm make the investment in the new computer system?
Cost of computer system | -50,000 |
Lifetime computer (years) | 4 |
Cost savings from new system | 22,000 |
Cost of capital | 0.10 |
A. 10,105.18 Yes
B. 38000.00 Yes
C. 19737.03982 Yes
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