The present value of the stream of savings estimates

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Your firm has the option of making an investmest in new software that will cost $285,692 today and is estimated to provide the savings shown in the following table (Below) over its 5-year life. Should the firm make this investment if it requires a minimum annual return of 9% on all investments?

Table:

Year 1: $78,000

Year 2: $109,200

Year 3: $101,400

Year 4: $54,600

Year 5: $31,200

The present value of the stream of savings estimates is? (Round to the nearest dollar)

Reference no: EM132011650

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