Please determine the present value of the total cost of the project for a given cash flow indicated below using the present value method and find the correct answer given belo Economic life :4 years Initial investment :150,000 TL Annual saving for each year :20,000 Salvage value :Zero Discount ratio :10% Maintenance cost :30.000 Select one: O A. The present value of the project is 63397.31 TL. O B. The present value of the project is 230,000 TL. O. The present value of the project is 80,000 TL. O D. All answers are incorrect.
Please determine the present value of the total cost of the project for a given cash flow indicated below using the present value method and find the correct answer given belo Economic life :4 years Initial investment :150,000 TL Annual saving for each year :20,000 Salvage value :Zero Discount ratio :10% Maintenance cost :30.000 Select one: O A. The present value of the project is 63397.31 TL. O B. The present value of the project is 230,000 TL. O. The present value of the project is 80,000 TL. O D. All answers are incorrect.
Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter26: Capital Investment Analysis
Section: Chapter Questions
Problem 3CMA
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Please determine the present value of the total cost of the project for a given cash flow indicated below using the present value method and find the correct answer given below. Economic life :4 years Initial investment :150,000 TL Annual saving for each year :20,000 Salvage value :Zero Discount ratio :10% Maintenance cost :30,000
Transcribed Image Text:Please determine the present value of the total cost of the project for a given cash flow indicated below using the present value method and find the correct answer given below.
Economic life :4 years Initial investment :150,000 TL Annual saving for each year :20,000 Salvage value :Zero Discount ratio :10% Maintenance cost :30,000
Select one:
O A. The present value of the project is 63397.31 TL.
O B. The present value of the project is 230,000 TL.
O. The present value of the project is 80,000 TL.
O D. All answers are incorrect.
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