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The Mayor of Statesville Is Considering the Purchase of a New

Question 38

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The mayor of Statesville is considering the purchase of a new computer system for the city's tax department.The system costs $75,000 and has an expected life of five years.The mayor estimates the following savings will result if the system is purchased: If Statesville uses a 10% discount rate for capital-budgeting decisions,the net present value of the computer system would be: A) $489. B) $4,057. C) $11,658. D) $63,342. E) $79,057.
The mayor of Statesville is considering the purchase of a new computer system for the city's tax department.The system costs $75,000 and has an expected life of five years.The mayor estimates the following savings will result if the system is purchased: If Statesville uses a 10% discount rate for capital-budgeting decisions,the net present value of the computer system would be: A) $489. B) $4,057. C) $11,658. D) $63,342. E) $79,057.
The mayor of Statesville is considering the purchase of a new computer system for the city's tax department.The system costs $75,000 and has an expected life of five years.The mayor estimates the following savings will result if the system is purchased: If Statesville uses a 10% discount rate for capital-budgeting decisions,the net present value of the computer system would be: A) $489. B) $4,057. C) $11,658. D) $63,342. E) $79,057.
The mayor of Statesville is considering the purchase of a new computer system for the city's tax department.The system costs $75,000 and has an expected life of five years.The mayor estimates the following savings will result if the system is purchased: If Statesville uses a 10% discount rate for capital-budgeting decisions,the net present value of the computer system would be: A) $489. B) $4,057. C) $11,658. D) $63,342. E) $79,057.
The mayor of Statesville is considering the purchase of a new computer system for the city's tax department.The system costs $75,000 and has an expected life of five years.The mayor estimates the following savings will result if the system is purchased: The mayor of Statesville is considering the purchase of a new computer system for the city's tax department.The system costs $75,000 and has an expected life of five years.The mayor estimates the following savings will result if the system is purchased: If Statesville uses a 10% discount rate for capital-budgeting decisions,the net present value of the computer system would be: A) $489. B) $4,057. C) $11,658. D) $63,342. E) $79,057.
If Statesville uses a 10% discount rate for capital-budgeting decisions,the net present value of the computer system would be:


A) $489.
B) $4,057.
C) $11,658.
D) $63,342.
E) $79,057.

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