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Would accept reject or be indifferent with the project

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Reference no: EM132691805

A firm is considering a project with an initial investment of $3,000,000. The initial investment will have a useful life of 4 years and no salvage value. Assume a discount rate of 10%. Net income for each year are as follows:

Year 1 = $0
Year 2 = $200,000
Year 3 = $250,000
Year 4 = $300,000

Problem 1: Based on your analysis, using Net Present Value, would you accept, reject or be indifferent with the project

Reference no: EM132691805

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