13. Herbilux Botanicals forecasts the following cash flows at the end of each year for a project. If the firm's discount rate is 9%, what is the present value of the project? Year 1 Cash flow P 697,000 2 P 631,000 3 P 574,000 4 P 898,000 5 P9,981,000 a. P7,634,980 b. P8,015,517 c. P8,736,914 d. P12,268,998 age2

13. Herbilux Botanicals forecasts the following cash flows at the end of each year for a project. If the firm's discount rate is 9%, what is the present value of the project? Year 1 Cash flow P 697,000 2 P 631,000 3 P 574,000 4 P 898,000 5 P9,981,000 a. P7,634,980 b. P8,015,517 c. P8,736,914 d. P12,268,998 age2

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter19: Capital Investment

Section: Chapter Questions

Problem 23E: Assume that an investment of 100,000 produces a net cash flow of 60,000 per year for two years. The...

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