Compute the net present value of this investment

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Question - Peng Company is considering an investment expected to generate an average net income after taxes of $3,400 for three years. The investment costs $53,700 and has an estimated $7,800 salvage value. Assume Peng requires a 10% return on its investments. Compute the net present value of this investment. Assume the company uses straight-line depreciation.

Reference no: EM132750106

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