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[EXCEL] Net present value: Crescent Industries management is planning to replace some existing machinery in its plant. The cost of the new equipment and the resulting cash flows are shown in the accompanying table. If the firm uses an 18 percent discount rate for projects like this, should management go ahead with the project? Please use excel Year    Cash Flow 0          −$3,300,000 1          875,123 2          966,222 3          1,145,000 4          1,250,399 5          1,504,445

[EXCEL] Net present value: Crescent Industries management is planning to replace some existing machinery in its plant. The cost of the new equipment and the resulting cash flows are shown in the accompanying table. If the firm uses an 18 percent discount rate for projects like this, should management go ahead with the project? Please use excel Year    Cash Flow 0          −$3,300,000 1          875,123 2          966,222 3          1,145,000 4          1,250,399 5          1,504,445

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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[EXCEL] Net present value: Crescent Industries management is planning to replace some existing machinery in its plant. The cost of the new equipment and the resulting cash flows are shown in the accompanying table. If the firm uses an 18 percent discount rate for projects like this, should management go ahead with the project? Please use excel

Year    Cash Flow

0          −$3,300,000

1          875,123

2          966,222

3          1,145,000

4          1,250,399

5          1,504,445

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