The following information relates to three independent investment decisions by B
ID: 2376068 • Letter: T
Question
The following information relates to three independent investment decisions by Buckle Enterprises, each with a 10-year life and no salvage value:
Using the present value tables in Exhibits 26-3 and 26-4, compute the missing information pertaining to each investment proposal. (Round "PV factors" to 3 decimal places and your final answers to the nearest dollar amount. Omit the "$" & "%" signs in your response.)
Using the present value tables in Exhibits 26-3 and 26-4, compute the missing information pertaining to each investment proposal. (Round "PV factors" to 3 decimal places and your final answers to the nearest dollar amount. Omit the "$" & "%" signs in your response.)
Explanation / Answer
investment cost =11500*6.145=70667.5
cash outflow=12000
discount rate=6%
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