Demulza Company is considering an investment in equipment.The present value of cash inflows includes
A) the present value of annual net operating cash flows, and the present value of the salvage value.
B) the present value of annual net operating cash flows, but not the present value of the salvage value.
C) neither the present value of annual net operating cash flows, nor the present value of the salvage value.
D) the present value of the salvage value, but not the present value of annual net operating cash flows.
Correct Answer:
Verified
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