The Lunch Counter is expanding and expects operating cash flows of $49,500 a year for nine years as a result. This expansion req

Question

3 years ago

13

The Lunch Counter is expanding and expects operating cash flows of $49,500 a year for nine years as a result. This expansion req

uires $36,500 In new fixed assets. These assets will be worthless at the end of the project. In addition, the project requires $2.200 of net working capital throughout the life of the project. What is the net present value of this expansion project at a required rate of return of 15.6 percent?
A. $194.736.05
B. $201.033.33
C. $192.536.05
D. $188.569.91
E. $19313281

Business

1 answer:

Natasha2012 [34] · Answer 1 · 2022-06-29T09:15:17+03:00

Natasha2012 [34]3 years ago

8 0

It’s is “C” I believe