Question: Help Save & Exit Subm Check my work Required information The following information applies to the questions displayed below) Park Co. is considering an investment
Help Save & Exit Subm Check my work Required information The following information applies to the questions displayed below) Park Co. is considering an investment that requires immediate payment of $21,530 and provides expected cash inflows of $6,500 annually for four years. Assume Park Co. requires a 7% return on its investments. 1-a. What is the net present value of this investment? (PV of $1. FV of $1. PVA of S1, and EVA of $1) (Use appropriate factor(s) from the tables provided. Round your present value factor to 4 decimals) 1-b. Based on NPV alone, should Park Co. invest? Complete this question by entering your answers in the tabs below. Required 1A Required 1B What is the net present value of this investment? Amount PV Factor - Present Value Cash Flow Annual cash flow Select Chart Present Value of an Annuity of 1 Net present value Required 13 ) P8 NE R oll
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