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A project requires an initial investment of $2,400,000 depreciated straight-line to $0 in 10 years. The...

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Finance

A project requires an initial investment of $2,400,000depreciated straight-line to $0 in 10 years. The investment isexpected to generate annual sales of $700,000 with annual costs of$450,000 for 20 years. Assume a tax rate of 30% and a discount rateof 10%. What is the NPV of the project? No excel spreadsheetplease.

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A project requires an initial investment of $2,400,000depreciated straight-line to $0 in 10 years. The investment isexpected to generate annual sales of $700,000 with annual costs of$450,000 for 20 years. Assume a tax rate of 30% and a discount rateof 10%. What is the NPV of the project? No excel spreadsheetplease.

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