Question: Problem 1 4 - 1 6 ( Algo ) Net Present Value Analysis [ LO 1 4 - 2 ] Windhoek Mines, Limited, of Namibia,

Problem

14 - 16 (

Algo

)

Net Present Value Analysis

[

14 - 2]

Windhoek Mines, Limited, of Namibia, is contemplating the purchase of equipment to exploit a mineral deposit on land to which the company has mineral rights. The company estimated the following cash flows related to opening and operating a mine in the area:

\

table

[[

Cost of new equipment and timbers,$

300, 000

Namibia, is contemplating the purchase of equipment to exploit a mineral deposit

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