Need expert answer ASAP Johnson Entertainment Systems is setting up to manufacture a new line of video game consoles. The cost of the manufacturingequipment is $1,655,000. Expected cash flows over the next four years are $832,000, $984,000, $1.140.000, and $1,496,000.Given the company's required rate of return of 15.5 percent, what is the NPV of this project? (Do not round intermediatecomputations. Round final answer to nearest dollar.)O $2,919,806O $1,383,467O $3,122,607O $4,669,542

Step 1: The calculation of the NPV AB1YearCashflow20 $ 1,655,000.00 31 $…

Answered: Johnson Entertainment Systems is…

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter19: Capital Investment

Section: Chapter Questions

Problem 15E: Gina Ripley, president of Dearing Company, is considering the purchase of a computer-aided...

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