Question: Instructions a)calculate the net present value ignoring the additonal benefits described by Rick. Should the tow truck be purchased. b) Calculate the net present value

 Instructions a)calculate the net present value ignoring the additonal benefits described

Instructions

a)calculate the net present value ignoring the additonal benefits described by Rick. Should the tow truck be purchased.

b) Calculate the net present value incorporating the additonal benefits suggested by Rick. Should the tow truck be purchased

c) Suppose rick hs been overly optimistic in his assessement of the value of additional benefits. At minimum how would the additonal benefits have to be worth in order for the project to be accepted.

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