Expected Cash flows of the Project is as follows: Inflow year 1 $450,000 Inflow year 2 $450,000
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Question:
Expected Cash flows of the Project is as follows:
Inflow year 1 $450,000
Inflow year 2 $450,000
Inflow year 3 $450,000
Inflow year 4 $450,000
Inflow year 5 $450,000
Inflow year 6 -$1500,000
We are assuming that project is terminated at the end of the year 3. Calculate residual value of the project at the end of the year 3
Related Book For
Managerial Economics
ISBN: 978-0133020267
7th edition
Authors: Paul Keat, Philip K Young, Steve Erfle
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