Calculate the npv of the boat using a cost of capital

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Andy's Fishing Charters is considering the purchase of a new boat costing $80,000. the boat is expected to increase profits by $12,000 per year for each of the next 8 years. After 4 years, the boat will require maintain of $6,000. After the 8 years, the boat will be sold for $32,000.

Calculate the NPV of the boat using a cost of capital of 12%. fund your answer to the nearest dollar.

Reference no: EM132355602

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