17. Huntsville Company has invested in a project that has an eight-year life. It is expected that the annual cash inflow from the project will be $20,200. Assuming that the project has an internal rate of return of 15%, how much was the initial investment in the project? (Ignore income taxes in this problem.) (Round your PV factor to 5 decimal places and final answer to nearest whole dollar amount.) Select one: a. $90,644 b. $64,648 c. $160,000 d. $80,800

17. Huntsville Company has invested in a project that has an eight-year life. It is expected that the annual cash inflow from the project will be $20,200. Assuming that the project has an internal rate of return of 15%, how much was the initial investment in the project? (Ignore income taxes in this problem.) (Round your PV factor to 5 decimal places and final answer to nearest whole dollar amount.) Select one: a. $90,644 b. $64,648 c. $160,000 d. $80,800

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter12: Capital Investment Analysis

Section: Chapter Questions

Problem 3CMA

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