Palau, Inc. requires all its capital investments to generate an internal rate of return of 14 percent. The company is considering an investment costing P80,000 that is expected to generate equal annual cash inflows for 5 years.  To meet the 14 percent minimum acceptable rate of return, the estimated annual cash inflow (ignoring income taxes) is: Group of answer choices P274,648 P154,033 P51,550 P23,303

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 2PA: Jasmine Manufacturing is considering a project that will require an initial investment of $52,000...
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Palau, Inc. requires all its capital investments to generate an internal rate of return of 14 percent. The company is considering an investment costing P80,000 that is expected to generate equal annual cash inflows for 5 years.  To meet the 14 percent minimum acceptable rate of return, the estimated annual cash inflow (ignoring income taxes) is:

Group of answer choices
P274,648
P154,033
P51,550
P23,303
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