Wilkinson Co. has identified an investment project with the following cash flows

Question

Wilkinson Co. has identified an investment project with the following cash flows: If the discount rate is 8 percent, what is the present value of these cash (lows'? (Do not round Intermediate calculations and round your answer to 2 decimal places, e.g.. 32.16.) If the discount rate is 17 percent, what is the present value of these cash llws/(Do not round intermediate calculations and round your answer to 2 decimal places, e.g.. 32.16.) If the discount rate is 25 percent, what is the present value of these cash flows' (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Explanation / Answer

year cash flow DF @ 8% PV DF @ 17% PV DF @ 25% PV 1 780 0.925926 722.2222 0.854701 666.6667 0.8 624 2 1050 0.857339 900.2058 0.730514 767.0392 0.64 672 3 1310 0.793832 1039.92 0.624371 817.9254 0.512 670.72 4 1425 0.73503 1047.418 0.53365 760.4513 0.4096 583.68 3709.766 3012.083 2550.4

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