Acme Company plans to invest $170,000 in a project that has a 3-year economic life. Acme...

 

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Acme Company plans to invest $170,000 in a project that has a 3-year economic life. Acme expects the project to produce net cash inflows of $65,000 in Year 1 and $55,000 in Year 2. Assuming the project's internal rate of return is 12.0%, what is the expected net cash inflow for year 3? Round to the nearest whole dollar amount. Acme Company plans to invest $170,000 in a project that has a 3-year economic life. Acme expects the project to produce net cash inflows of $65,000 in Year 1 and $55,000 in Year 2. Assuming the project's internal rate of return is 12.0%, what is the expected net cash inflow for year 3? Round to the nearest whole dollar amount.

Answer rating: 100% (QA)

To find the expected net cash inflow for Year 3 we can use the internal rate of return IRR to calcul... View the full answer