Question: Can I have some help with these Williams Corporation - Comprehensive Problem NOTE: The information below is the same for ALL QUESTIONS in this section
Can I have some help with these



Williams Corporation - Comprehensive Problem NOTE: The information below is the same for ALL QUESTIONS in this section pertaining to the Company, "Williams Corporation'. Williams Corporation has an opportunity to invest in one of two projects for construction of a new Tennis Club. Club A requires a $240,000 investment tor new machinery with a 4eyear useful life and no salvage value. Club B also requires a $240,000 investment for new machinery with a 3-year useful life and no salvage value. (Note: The useful life of each club is the project's life.) Each Tennis Club project yields the following predicted annual results. Williams Corporation uses straight-line depreciation, and cash flows occur evenly throughout each year. Williams hurdle rate is 8% and the income tax rate is 30%. Club A Club B Cash Sales $25 0,000 $200,000 Cash Expenses $133,000 $83,000 Question: Assuming cosh flows occur at each year-end, what is the NPV for Club A? (Round to 2 decimal places, pick the best answer) 0 a. $330,379 0 b. $17,452 0 c. $90,879 0 0. $147,516 0 e. $432,597
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