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Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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![Wildhorse Corp. management is planning to spend $650,000 on a new marketing campaign. They believe that this action will result in
additional cash flows of $ 323,000 each year for three years. If the discount rate is 17.5 percent, what is the NPV on this project? (Enter
negative amounts using negative sign e.g. -45.25. Do not round discount factors. Round other intermediate calculations and final answer to 0
decimal places, e.g. 1,525.)
The NPV is
%24](https://content.bartleby.com/qna-images/question/87f377c8-556b-40c3-ad73-583aac17d9d0/a84e71f7-c552-4b0c-93d7-169131136206/w0xyd25_thumbnail.jpeg)
Transcribed Image Text:Wildhorse Corp. management is planning to spend $650,000 on a new marketing campaign. They believe that this action will result in
additional cash flows of $ 323,000 each year for three years. If the discount rate is 17.5 percent, what is the NPV on this project? (Enter
negative amounts using negative sign e.g. -45.25. Do not round discount factors. Round other intermediate calculations and final answer to 0
decimal places, e.g. 1,525.)
The NPV is
%24
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