QUESTION
93. A project has an initial requirement of $261,000 for fixed assets and $27,000 for net working capital. The fixed ass
Category: Business
Subject: Finance
Due Date: 02/03/2016
Question Asked: 2016-02-03 03:18:12
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93. A project has an initial requirement of
$261,000 for fixed assets and $27,000 for net working capital. The fixed assets
will be depreciated to a zero book value over the 4-year life of the project
and have an estimated salvage value of $78,000. All of the net working capital
will be recouped at the end of the project. The annual operating cash flow is
$96,200 and the discount rate is 13 percent. What is the project's net present
value if the tax rate is 35 percent?
A. $42,011
B. $43,333
C. $45,799
D. $47,880
E. $47,919
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93. A project has an initial requirement of $261,000 for fixed assets and $27,000 for net working capital. The fixed ass
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...he end of the project. The annual operating cash flow is $96,200 and the discount rate is 13 percent. What ...
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