Consider the investment opportunity

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Consider the following investment opportunity:

Initial cost     $100,000

Additional cost at end of Year 1   150,000

Bene?t at end of Year 1     0

Annual bene?t per year at end of Years 2–10    20,000

With interest at 7%, what is the bene?t–cost ratio for this project?

Reference no: EM131007581

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