The net cash flow associated with development and sale of a new product is shown. Determine the
Question:
The net cash flow associated with development and sale of a new product is shown. Determine the present worth at an interest rate of 12% per year.
The cash flow is in $1000 units. Show
(a) Hand
(b) Spreadsheetsolutions.
Transcribed Image Text:
Year Cash Flow, $-120 100-40+50 +50 +80 +80 +80 +80 1 2 3 4 56 7 89
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