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What is the NPV of this investment

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Question - Cullumber Corp. management is planning to spend $650,000 on a new marketing campaign. They believe that this action will result in additional cash flows of $304,000 each year for three years. If the discount rate is 17.5 percent, what is the NPV on this project?

Carla Vista, Inc. management is considering purchasing a new machine at a cost of $4,060,000. They expect this equipment to produce cash flows of $811,690, $798,250, $969,930, $1,000,200, $1,165,960, and $1,217,500 over the next six years. If the appropriate discount rate is 15 percent, what is the NPV of this investment?

Reference no: EM133011429

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