Anderson Systems is considering a project that has the following cash flow and WACC data. What...

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Answer 1

Answer #1

Project 1
Year	0	1	2	3
initial investment	-1500	600	600	600
present value of cash flow = cash flow/(1+r)^n r = 10.5%	-1500	542.9864253	491.39043	444.69722
Net present value = sum of present value of cash flow	-20.93
Answer is D	-20.93

Answer 2

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