Yipann Corporation is reviewing an investment proposal.The initial costs as well as other related data for each year are presented in the schedule below.The cash flows are all assumed to take place at the end of the year.All salvage value of the investment at the end of each year is equal to its net book value,and there will be no salvage value at the end of the investment's life.
Investment Proposal
Yipann uses a 24 percent after-tax target rate of return for new investment proposals.The discount figures for a 24 percent rate of return are given below:
What is the net present value of the investment proposal?
Correct Answer:
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