Express Airlines is considering the purchase of an aircraft to supplement its current fleet.In estimating the impact of adding this aircraft to the fleet, management has developed the following expected cash flows: If the discount rate is 10 percent, what is the present value of these estimated flows?
A) $379,080
B) $224,211
C) $189,760
D) $154,869
E) $199,000

Question

Express Airlines is considering the purchase of an aircraft to supplement its current fleet.In estimating the impact of adding this aircraft to the fleet, management has developed the following expected cash flows:  If the discount rate is 10 percent, what is the present value of these estimated flows?
A) $379,080 
B) $224,211 
C) $189,760 
D) $154,869 
E) $199,000

Quizplus · Accepted Answer

The Answer of Express Airlines is considering the purchase of an aircraft to supplement its current fleet.In estimating the impact of adding this aircraft to the fleet, management has developed the following expected cash flows:  If the discount rate is 10 percent, what is the present value of these estimated flows?
A) $379,080 
B) $224,211 
C) $189,760 
D) $154,869 
E) $199,000

Express Airlines Is Considering the Purchase of an Aircraft to Supplement