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Saul Cervantes has just purchased some equipment for his landscaping business. For this equipment he must...

Saul Cervantes has just purchased some equipment for his landscaping business. For this equipment he must pay the following amounts at the end of the next five years: $16,890, $8,010, $9,315, $12,330, and $11,580. If the appropriate discount rate is 10.200 percent, what is the cost in today’s dollars of the equipment Saul purchased today? (Round

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This can be solved using the Present value of Future cashflows generated by the Equipment. Present value of Future Cashflows: PVF Present Year Cashflow $ @10.20% Value $ 16,890 8,010 9,315 12,330 11,580 15,326.68 6,595.83 6,960.46 8,360.59 7,125.26 Present value44,368.81 0.91 0.82 0.75 0.68 0.62 Cost in todays dollars of the equipment is $ 44,368.81 /.

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