Lion Enterprises Inc. is evaluating 3 investment alternatives. Each alternative requires a cash outflow of $102,000. The cash inflows are summarized below (ignore taxes):
The company has a required rate of return of 9%.
Required:
Evaluate and rank each alternative using net present value (NPV).
Correct Answer:
Verified
NPV = $2,411.57
CF0 - $102,00...
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