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Show Work and Forumulas needed to calculate NPV:
Calculating NPV: For the cash flows in the previous problem (noted above), suppose the firm uses the NPV decision rule. At a required return of 11 percent, should the firm accept this project? What if the required return is 25%?
Year
Cash Flow
0
-$28,000
1
12000
2
15000
3
11000
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