Louise owns a golf course and wants to add some computers to the lounge. The computers would cost $14,000 and would have a 3 year life and no residual value. Louise expects the computers to generate $4,000 annual cash inflows for 3 years. The discount rate is 8%. What is the net present value of the investment?
Present Value of Annuity of $1
Present Value of $1

Question

Louise owns a golf course and wants to add some computers to the lounge. The computers would cost $14,000 and would have a 3 year life and no residual value. Louise expects the computers to generate $4,000 annual cash inflows for 3 years. The discount rate is 8%. What is the net present value of the investment?
Present Value of Annuity of $1
  Present Value of $1

Quizplus · Accepted Answer

The Answer of Louise owns a golf course and wants to add some computers to the lounge. The computers would cost $14,000 and would have a 3 year life and no residual value. Louise expects the computers to generate $4,000 annual cash inflows for 3 years. The discount rate is 8%. What is the net present value of the investment?
Present Value of Annuity of $1
  Present Value of $1

Louise Owns a Golf Course and Wants to Add Some