The net present value of the alternative of overhauling the present system is closest to:
Solution
Hi,
The correct answer is as follows:
Hence the correct answer is $(228232)
.
The net present value of the alternative of overhauling the present sy.docx
1. The net present value of the alternative of overhauling the present system is closest to:
$(238,232)
$(108,000)
$(228,232)
$(232,272)
Solution
Hi,
The correct answer is as follows:
Hence the correct answer is $(228232)
Year Cash Out Flow Present Value
0 -80000 -80000
1 -30000 -26785.71429
2 -30000 -23915.81633
3 -30000 -21353.40743
4 -30000 -19065.54235
5 -30000 -17022.80567
6 -30000 -15198.93364
7 -30000 -13570.47646
8 -28000 -11308.73038
NPV -228232.4265