ECON 106P Lecture 11: Econ 106P Lecture Notes 6.2
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37.Use the following setup for the next question.
A manufacturing firm is deciding whether or not to invest in a new printer that needs an initial investment of $150,000. The investment would increase cash flows in the first year by $80,000 and in the second year by $75,000.
?If the interest rate is 10% then the net present value of the investment is
?a. $5,000 |
b. ?- $9,091 |
?c. -$15,290 |
d. | ?-$21,901 33. Table 13-16
|