Question
7. I can buy a business that promises a $15,500 cash flow every year for the...
7. I can buy a business that promises a $15,500 cash flow every year for the next 6 years. How much should I pay to acquire this business if I require a 14% rate of return?
A $50,274.35
B $60.000.87
C $60,274.35
D $60,766.87
E None of the above
8 If you purchased the above business for $55,000, then your NPV is… and you …value
A $5,274.35; destroyed
B -$9,533.13; created
C $666.87.13; created
D $766.87.23; created
E None of the above
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Answer #2
answered by: anonymous
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