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3. A project is expected to generate a cash flow of $2,000 in year 1, $800 in year 2, and $1,000 in year 3. At an interest rate of 10%, what is the maximum amount that you could invest in the project at year 0 and just break even? 2 Click the icon to view the interest factors for discrete compounding when i= 10% per year. The maximum amount that you could invest in the project at year 0 and just break even is $ (Round to the nearest dollar.)

3. A project is expected to generate a cash flow of $2,000 in year 1, $800 in year 2, and $1,000 in year 3. At an interest rate of 10%, what is the maximum amount that you could invest in the project at year 0 and just break even? 2 Click the icon to view the interest factors for discrete compounding when i= 10% per year. The maximum amount that you could invest in the project at year 0 and just break even is $ (Round to the nearest dollar.)

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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3. A project is expected to generate a cash flow of $2,000 in year 1, $800 in year 2, and $1,000 in year 3. At an interest rate of 10%, what is the maximum amount that you could invest in the project at year 0 and just break even? 2 Click the icon to view the interest factors for discrete compounding when i= 10% per year. The maximum amount that you could invest in the project at year 0 and just break even is $ (Round to the nearest dollar.) 2: More Info Single Payment Equal Payment Series Compound Present Compound Sinking Present Capital Recovery Amount Worth Amount Fund Worth Factor Factor Factor Factor Factor Factor (F/P, i, N) (P/F, i, N) (F/A, i, N) (A/F, i, N) (P/A, i, N) (A/P, i, N) 1 1.1000 0.9091 1.0000 1.0000 0.9091 1.1000 2 1.2100 0.8264 2.1000 0.4762 1.7355 0.5762 3 1.3310 0.7513 3.3100 0.3021 2.4869 0.4021 4 1.4641 0.6830 4.6410 0.2155 3.1699 0.3155 1.6105 0.6209 6.1051 0.1638 3.7908 0.2638 6 1.7716 0.5645 7.7156 0.1296 4.3553 0.2296 7 1.9487 0.5132 9.4872 0.1054 4.8684 0.2054 8 2.1436 0.4665 11.4359 0.0874 5.3349 0.1874 9 2.3579 0.4241 13.5795 0.0736 5.7590 0.1736 10 2.5937 0.3855 15.9374 0.0627 6.1446 0.1627 11 2.8531 0.3505 18.5312 0.0540 6.4951 0.1540 12 3.1384 0.3186 21.3843 0.0468 6.8137 0.1468 13 3.4523 0.2897 24.5227 0.0408 7.1034 0.1408 14 3.7975 0.2633 27.9750 0.0357 7.3667 0.1357 15 4.1772 0.2394 31.7725 0.0315 7.6061 0.1315
Transcribed Image Text:3. A project is expected to generate a cash flow of $2,000 in year 1, $800 in year 2, and $1,000 in year 3. At an interest rate of 10%, what is the maximum amount that you could invest in the project at year 0 and just break even? 2 Click the icon to view the interest factors for discrete compounding when i= 10% per year. The maximum amount that you could invest in the project at year 0 and just break even is $ (Round to the nearest dollar.) 2: More Info Single Payment Equal Payment Series Compound Present Compound Sinking Present Capital Recovery Amount Worth Amount Fund Worth Factor Factor Factor Factor Factor Factor (F/P, i, N) (P/F, i, N) (F/A, i, N) (A/F, i, N) (P/A, i, N) (A/P, i, N) 1 1.1000 0.9091 1.0000 1.0000 0.9091 1.1000 2 1.2100 0.8264 2.1000 0.4762 1.7355 0.5762 3 1.3310 0.7513 3.3100 0.3021 2.4869 0.4021 4 1.4641 0.6830 4.6410 0.2155 3.1699 0.3155 1.6105 0.6209 6.1051 0.1638 3.7908 0.2638 6 1.7716 0.5645 7.7156 0.1296 4.3553 0.2296 7 1.9487 0.5132 9.4872 0.1054 4.8684 0.2054 8 2.1436 0.4665 11.4359 0.0874 5.3349 0.1874 9 2.3579 0.4241 13.5795 0.0736 5.7590 0.1736 10 2.5937 0.3855 15.9374 0.0627 6.1446 0.1627 11 2.8531 0.3505 18.5312 0.0540 6.4951 0.1540 12 3.1384 0.3186 21.3843 0.0468 6.8137 0.1468 13 3.4523 0.2897 24.5227 0.0408 7.1034 0.1408 14 3.7975 0.2633 27.9750 0.0357 7.3667 0.1357 15 4.1772 0.2394 31.7725 0.0315 7.6061 0.1315
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