Question: Applying Time Value Factor A factory costs $671,960. You forecast that it will produce cash inflows of $418,021 in year 1, $125,000 in year
Applying Time Value Factor A factory costs $671,960. You forecast that it will produce cash inflows of $418,021 in year 1, $125,000 in year 2, and $280,000 in year 3. The discount rate is 16.50%. a. Calculate the PV of cash inflows. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Present value 683,125.8 b. Should the company invest in the factor? (Click to select)
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