Question: Exercise 12A-1 (Algo) Basic Present Value Concepts [LO12-7] Annual cash inflows that will arise from two competing investment projects are given below: Year Investment

Exercise 12A-1 (Algo) Basic Present Value Concepts [LO12-7] Annual cash inflows that will arise from two competing investment projects are given below: Year Investment A Investment B 1 $ 5,000 $ 8,000 2 6,000 7,000 3 7,000 6,000 8,000 5,000 $ 26,000 $ 26,000 The discount rate is 9%. Click here to view Exhibit 12B-1 and Exhibit 128-2. to determine the appropriate discount factor(s) using tables. Required: Compute the present value of the cash inflows for each investment. Present Value of Year Cash Flows for Present Value of Cash Flows for 1 2 3 4 Investment A Investment B

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