Homework Answers
Answer = $ 39,982 Per Year
Net Present Value= Present Value of Cash Flows - Investment Required
Life of the Project = 5 YEar
Discount Rate = 8%
Minimum Cash flows Must to have in order to accept the Project =
=(92750+X) *3.993 = 5300000
= 530000/3.993 -92750 = $ 39,982 (Answer)
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