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Author Question: The capital budgeting process consists of four distinct but interrelated steps: proposal generation, ... (Read 93 times)

audie

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on: Jul 10, 2018
The capital budgeting process consists of four distinct but interrelated steps: proposal generation, review and analysis, decision making, and termination.
 
  Indicate whether the statement is true or false

Question 2

Calculate the present value of 5,800 received at the end of year 1, 6,400 received at the end of year 2, and 8,700 at the end of year 3, assuming an opportunity cost of 13 percent.
 
  What will be an ideal response?


lin77x

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Reply #1 on: Jul 10, 2018
Answer to Question 1

FALSE

Answer to Question 2

PV = 5,800(1.13 )-1 + 6,400(1.13 )-2 + 8,700(1.13 )-3 = 16,174.42


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audie

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Reply #2 on: Jul 10, 2018
TY


lin77x

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Reply #3 on: Jul 10, 2018
Happy to Help


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