What would be the present value of an item that has a salvage value of $25,000 at the end of five years? Assume a discount rate of 3.8% for an end-of-year factor. Carry calculations to four decimal places.
A - $24,085
B - $24,050
C - $25,950
D - $20,747© BrainMass Inc. brainmass.com October 25, 2018, 7:15 am ad1c9bdddf
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To answer this question we first need to understand the concept of Net Present Value. Since money now is always worth more than money one year from now, we ...
How to calculate the value of an item with a known salvage value at the end of 5 years and a given discount rate.
Find Net Present Value, Return on Investment & Break Even Point
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Pine valley furniture recently implemented a new internship program and has begun recruiting interns from nearby university campuses. As part of this program, interns have the opportunity to work alongside a systems analysis. This shadowing opportunity provides invaluable insights into the systems analysis and design process. recently you were selected for a six month internship at pine valley furniture, and Jim Woo has been assigned as your supervisor.
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Questions are in the spreadsheet: please show all work thank you.View Full Posting Details