An investment of $83 generates after-tax cash flows of $40.00 in Year 1, $68.00 in Year 2, and $131.00 in Year 3. The required rate of return is 20 percent. The net present value is
The net present value is:
= -$83 + $40/1.20 + $68/1.202 + $131/1.203
= $73.37
The net present value is $73.37
An investment of $83 generates after-tax cash flows of $40.00 in Year 1, $68.00 in Year...
An investment of $105 generates after-tax cash flows of $30 in Year 1, $90 in Year 2, and $150 in Year 3. The required rate of return is 20 percent. The net present value is closest to
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