net amount of annual cash inflow
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The company is considering an investment that costs $785,000 today and has a salvage value in 10 years of $137,714, but the company is not sure how much net annual cash inflow will be provided by the investment. The company has a discount rate of 7%. How do I compute the net amount of annual cash inflow required to break even.
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Solution Summary
The net amount of annual cash inflow is determined.
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