Calculating Net Present Value on Paving Company
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Paving Company is getting a paver. Machine will cost $240,000 and will last 10 years and will have a $40,000 salvage value at end of 10 years. Machine will generate net cash inflows of $60,000 per year in each of ten years. Discount rate is 18%.
What is the net present value?
A 5840
B 37280
C (48780)
D 69640
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Solution Summary
The solution calculates the net present value for paving Company to get a new paver.
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What is the net present value?
A 5840
B 37280
C (48780)
D ...
Purchase this Solution
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