The Sawyer Company has $80,000 to invest and is considering two different projects: X and Y. The following data are available on the projects:

Both projects will have a useful life of five years; at the end of five years, the working capital will be released for use elsewhere. Sawyer's discount rate is 12%. (Ignore income taxes in this problem.)
-What is the net present value of project X?

Question

The Sawyer Company has $80,000 to invest and is considering two different projects: X and Y. The following data are available on the projects:

Both projects will have a useful life of five years; at the end of five years, the working capital will be released for use elsewhere. Sawyer's discount rate is 12%. (Ignore income taxes in this problem.)
-What is the net present value of project X?

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The Answer of The Sawyer Company has $80,000 to invest and is considering two different projects: X and Y. The following data are available on the projects:

Both projects will have a useful life of five years; at the end of five years, the working capital will be released for use elsewhere. Sawyer's discount rate is 12%. (Ignore income taxes in this problem.)
-What is the net present value of project X?

The Sawyer Company Has $80,000 to Invest and Is Considering