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What does the npv rule say should? do

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Your factory has been offered a contract to produce a part for a new printer. The contract would last for 3 years and your cash flows from the contract would be $5.00 million per year. Your upfront setup costs to be ready to produce the part would be $8.00 million. Your discount rate for this contract is 8.0%.

Problem a. What does the NPV rule say you should? do?

Reference no: EM132796701

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