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Calculate the range of possible npv values

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Problem 1: Calculate the net present value (NPV) for each type of stand under each of the three scenarios. Calculate the range of possible NPV values for each type of stand.

Souvenir Stand               Hot Dog    Beer Stand

initial investment           $100,000          $150,000
Annual Cash Inflows (5 Years)
Outcome
Pessimistic                  $30,000               $50,000
Most likely                $50,000                $60,000
Optimistic               $70,000              $70,000

Reference no: EM132755064

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