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DQuestion 34 4 pts A company is considering the purchase of a copier that cost $5,000. Assume a required rate of return of 5.
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Answer #1

Using Excel function for PI  

A B C D E
Year 0 1 2 3 4
1 Cash Flow -5000 3000 9000 2000 9000
NPV $14,747.50 NPV using excel formula=NPV(5.8%,B1:E4)+A1
PI 3.9495 PI=(1+14747.50/5000)

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