What is the value of the plant at the end of year 1

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The manufacture of folic acid is a competitive business. A new plant costs $100,000 and lasts for three years. The cash flow from the plant is as follows: year 1: +$43,300, year 2: +$43,300 and year 3 = +$58,300. (Assume no taxes.) If the discount rate is 20%, what is the value of the plant at the end of year 1?

Reference no: EM13335576

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